Just got a question said a ten-year subordinated unsecured non-amortizing seller note in aggregate principal amount $70 million issued by the company to the seller of the company and bearing an interest rate of 6.5% per annual. Ask for present value?
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Are you joking? Are you confused because it is a "seller" note? Or do you just not understand how to find the PV of any note? Hint: it's no different from finding the PV of any other debt security.
Yeah, I am confused the "sellers" note. I tried to use the NPV method to calculate,but it seems lack the discount rate.
You assume a rate.
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