Bonds =3
Value -1000
Coupon rate= 9%
Total Annual interest = 3 x 1,000 x 9% = 270
So Correct Answer is 270
What is the total annual interest (coupon payments) earned from three $1,000 bonds paying 9.00% coupon...
Messenger, Inc. bonds have a 4% coupon rate with annual coupon payments and a $1,000 par value. The bonds have 5 years until maturity, and expected to yield 4.90%. What is the current yield for Messenger's bonds? 4.51% 4.33% 4.42% 4.16%
5a FYI bonds have a par value of $1,000. The bonds pay an 8% annual coupon and will mature in 11 years. i) Calculate the price if the yield to maturity on the bonds is 7%, 8% and 9%, respectively. ii) What is the current yield on these bonds if the YTM on the bonds is 7%, 8% and 9%, respectively. Hint, you can only calculate current yield after you have determined the intrinsic value (price) of the bonds. iii)...
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Treasury bonds paying an 10.0% coupon rate with semiannual payments currently sell at par value. What coupon rate would they have to pay in order to sell at par if they paid their coupons annually? (Hint: What is the effective annual yield on the bond?) (Round your answer to 2 decimal places.) Effective annual yield
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15 6 A 10% coupon rate bond makes semi-annual Interest rate payments. Par value is $1,000. The bond matures in 12 years. The required rate of return is 9.57%. What is the current price If the current price is 1,030.29, calculate the bonds YTM. a 9.15% b 7.25% Be Careful - This is Semi-Annual 5.20% 4.20% с
Price the bonds from the following table with annual coupon payments. Par Value Coupon Rate Years to Maturity Yield to Maturity Price $1,000 10% 10 9% $1,000 6% 30 6% ? $5,000 8% 25 10% ? $5,000 12% 20 5% ?
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