19. A three year bond has 8.0% coupon rate and face value of $1000. If the...

Question

Question

19. A three year bond has 8.0% coupon rate and face value of $1000. If the yield to matunity on the bond is 10, calculate the

Answer 1

Answer #1

Answer Bond price = c* (-****) + 642, where a - coupon payment per plassed face value of bond er YTM - number of period As

Answer 2

Similar Homework Help Questions

15. A four-year bond has 9.0% coupon rate and face value of $1000. If the yield...

15. A four-year bond has 9.0% coupon rate and face value of $1000. If the yield to maturity on the bond is 12%, calculate the price of the bond assuming that the bond makes semi-annual coupon interest payments
A four-year bond has a 9% coupon rate and a face value of $1000. If the...

A four-year bond has a 9% coupon rate and a face value of $1000. If the current price of the bond is $848.31, calculate the yield to maturity of the bond (assuming annual interest payments). You will need to use Excel. Please round your answer to two decimal places. Remember to input your answer in decimal form (i.e. 12.34% would be entered as 0.1234). A three-year bond has a 6.0% coupon rate and face value of $1000. If the yield...
A 17-year, $1000 face value bond makes annual payments and has a coupon rate of 16...

A 17-year, $1000 face value bond makes annual payments and has a coupon rate of 16 percent. If the current yield on the bond is 15 percent, what is the bond's price? Enter your answer rounded to two decimal places.

A bond face value is $1000, with a 6-year maturity. Its annual coupon rate is 7%...

A bond face value is $1000, with a 6-year maturity. Its annual coupon rate is 7% and issuer makes semi-annual coupon payments. The annual yield of maturity for the bond is 6%. The bond was issued on 7/1/2017. An investor bought it on 8/1/2019. Calculate its dirty price, accrued interests, and clean price.
A 12-year bond has a 10% semiannual coupon and a face value of $1000. The bind...

A 12-year bond has a 10% semiannual coupon and a face value of $1000. The bind has a nominal yield to maturity of 7%. The bond can be called in five years at a call price 1050. What is the bond's nominal yield to call?
You are considering the purchase of a 20-year bond with an annual coupon rate of 9.5%. The bond has a face value of $1,000. You require a 12% nominal yield to maturity on this investment.

You are considering the purchase of a 20-year bond with an annual coupon rate of 9.5%. The bond has a face value of $1,000. You require a 12% nominal yield to maturity on this investment.If the bond makes annual interest payments, what is the maximum price you should be willing to pay for the bond?If the bond makes semiannual interest payments, what is the maximum price you should be willing to pay for the bond?

What is the value of a 5-year, 8.0% coupon rate, $1,000 face value bond with annual...

What is the value of a 5-year, 8.0% coupon rate, $1,000 face value bond with annual coupon payments, if similar bonds (same maturity, same risk profile) are trading at a yield to maturity of 3.0%? Round to the nearest cent. Numeric Answer:
You have a four-year bond with a coupon rate CR = 2% and a face value...

You have a four-year bond with a coupon rate CR = 2% and a face value of $1,000. The bond makes annual coupon payments and its yield to maturity is 19% p.a. If the bond's yield to maturity decreases by 1% (i.e., by 100 basis points), find the resulting percentage change in the bond's price.
What is the price of a 10-year $1,000 face value bond with a coupon rate of 8.0% that pays semi-annually, if the yi...

What is the price of a 10-year $1,000 face value bond with a coupon rate of 8.0% that pays semi-annually, if the yield is 10%? Type your answer

Bond A is a semi-annual coupon bond that has a face value of $1000, a 10% coupon rate

Bond A is a semi-annual coupon bond that has a face value of $1000, a 10% coupon rate, a five year maturity, and a yield to maturity of 7%. At the maturity date, how much payment should the bond investor expect from the bond? (a) $50 (b) $100 (c) $1035 (d) $1050