Find the value of a $1,000, 8% coupon bond with a maturity of 15 years. (Market...
- Find the value of a $1,000, 8% coupon bond with a maturity of 15 years. (Market int. rate = 10%.)
2. Find the price of a 8% coupon bond (semi-annual payments) with a par value of $1,000 and a 15-year maturity if the market rate on similar bonds is 10%.
Homework Answers
Calculating Bond Price,
using TVM Calculation
PV = [FV = 1,000, PMT = 40, N = 30, I = 0.10/2]
PV = $846.28
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please show how to compute with a financial calculator. thank
you!
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