Seven years ago you purchased a $1,000 par bond with a 7% semi-annual coupon and 12...

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Seven years ago you purchased a $1,000 par bond with a 7% semi-annual coupon and 12...

Seven years ago you purchased a $1,000 par bond with a 7% semi-annual coupon and 12 years to maturity at a yield of 6.2%. Today the bond trades at a yield of 9.15%. What is the price of the bond today?

A. $1,033.95
B. $639.78
C. $915.25
D. $845.33

business finance

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Answer 1

Answer #1

If Semi Annual Coupon Nper Pmt Rate (12-7=5)*2 1000*0.07*1/2 0.0915*1/2 Pmt Nper 10 35.00 0.04575 1,000.00 ON payment Number

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Answer 2

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