A 28-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 5.25%...
A 28-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 5.25% (2.625% of face value every six months). The reported yield to maturity is 5.0% (a six-month discount rate of 5.0/2 = 2.5%). (Do not round intermediate calculations. Round your answers to 2 decimal places.)
a. What is the present value of the bond?
Present value $
b. If the yield to maturity changes to 1%, what will be the present value?
Present value $
c. If the yield to maturity changes to 8%, what will be the present value?
Present value $
d. If the yield to maturity changes to 15%, what will be the present value?
Present value $
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A 28-year U.S. Treasury bond with a face value of $1,000 pays a
coupon of 5.25%...
Saved Problem 3-6 Bond prices and yields A 23-year U.S. Treasury bond with a face value...
Saved Problem 3-6 Bond prices and yields A 23-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 5.25% (2.625% of face value every six months). The reported yield to maturity is 5.0% (a six-month discount rate of 5.0/2 = 2.5%). 25 a. What is the present value of the bond? b. If the yield to maturity changes to 1%, what will be the present value? c. If the yield to maturity changes to 8%, what...
A 10-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 5.5%...
A 10-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 5.5% (2.75% of face value every six months). The reported yield to maturity is 5.2% (a six-month discount rate of 5.2/2 = 2.6%). (Do not round intermediate calculations. Round your answers to 2 decimal places.) a. What is the present value of the bond? Present value $ b. If the yield to maturity changes to 1%, what will be the present value? Present value $...
value: 10.00 points A 11-year US. Treasury bond with a ace value o S1 000 pays...
value: 10.00 points A 11-year US. Treasury bond with a ace value o S1 000 pays a coupon o 575% 2.875% offace value every six months. The reported ye dto matur trs AsasX-month discount rate。5AI 2.7%) (Do not round intermediate calculations. Round your answers to 2 decimal places.) a. What is the present value of the bond? Present value b. If the yield to maturity changes to 1%, what will be the present value? Present value C. If the yield...
А 11-year u s. Treasury bond with a ace value of $1,000 oays a coupon ot...
А 11-year u s. Treasury bond with a ace value of $1,000 oays a coupon ot 5.75% 2.875% of face ale even six months places. a. What is the present value of the bond? Presei vau The eported yleldto ma un s 5.4% a six-month discount rate of 5 4 2 2.7% Do not o nd intermed ate calculat ons Round your answers to 2 deelmal ulations. R to 2 b. i the yield to matunty changes to 1%, what...
d. Assume that you have a one-year coupon bond with a face value of $1,000 and...
d. Assume that you have a one-year coupon bond with a face value of $1,000 and a coupon payment of $50. What is the price of the bond if the yield to maturity is 6%? e. Assume that you have the same bond is in part d, except instead of paying one annual payment of $50, the bond pays two semi-annual payments of $25 (one six months from now and another payment in twelve months). What is the price of...
A 5-year Circular File bond with a face value of $1,000 pays interest once a year...
A 5-year Circular File bond with a face value of $1,000 pays interest once a year of $50 and sells for $958. a. What are its coupon rate and yield to maturity? (Do not round intermediate calculations. Enter the coupon rate as a whole percent and the yield to maturity as a percent rounded to 2 decimal places.) b. If Circular wants to issue a new 5-year bond at face value, what coupon rate must the bond offer? (Do not...
A bond with $1,000 face value and twelve years to maturity is priced at $1,102.60 with...
A bond with $1,000 face value and twelve years to maturity is priced at $1,102.60 with a yield-to-maturity of 5.331%. It pays interest semiannually. What is the coupon rate? Hint: You need to first calculate the Coupon for the bond using the bond valuation formula and then use the calculated coupon to calculate the coupon rate. 5.0% 5.25% 6.0% 6.5%
What is the current value of a zero-coupon bond that pays a face value of $1,000...
What is the current value of a zero-coupon bond that pays a face value of $1,000 at maturity in 6 years if the appropriate discount rate is 8%. Please round your answer to the nearest cent.
What is the price of a 4-year, 8.2% coupon rate, $1,000 face value bond that pays...
What is the price of a 4-year, 8.2% coupon rate, $1,000 face value bond that pays interest quarterly if the yield to maturity on similar bonds is 12.3%? The price of the bond is $ . (Round to the nearest cent.)
what is the price of a 4-year, 7.6% coupon rate, $1,000 face value bond that pays...
what is the price of a 4-year, 7.6% coupon rate, $1,000 face value bond that pays interest quarterly if the yield to maturity on similar bonds is 12%? The price of the bond is. (Round to the nearest cent.)
Saved Problem 3-6 Bond prices and yields A 23-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 5.25% (2.625% of face value every six months). The reported yield to maturity is 5.0% (a six-month discount rate of 5.0/2 = 2.5%). 25 a. What is the present value of the bond? b. If the yield to maturity changes to 1%, what will be the present value? c. If the yield to maturity changes to 8%, what...
value: 10.00 points A 11-year US. Treasury bond with a ace value o S1 000 pays a coupon o 575% 2.875% offace value every six months. The reported ye dto matur trs AsasX-month discount rate。5AI 2.7%) (Do not round intermediate calculations. Round your answers to 2 decimal places.) a. What is the present value of the bond? Present value b. If the yield to maturity changes to 1%, what will be the present value? Present value C. If the yield...
А 11-year u s. Treasury bond with a ace value of $1,000 oays a coupon ot 5.75% 2.875% of face ale even six months places. a. What is the present value of the bond? Presei vau The eported yleldto ma un s 5.4% a six-month discount rate of 5 4 2 2.7% Do not o nd intermed ate calculat ons Round your answers to 2 deelmal ulations. R to 2 b. i the yield to matunty changes to 1%, what...
A bond with $1,000 face value and twelve years to maturity is priced at $1,102.60 with a yield-to-maturity of 5.331%. It pays interest semiannually. What is the coupon rate? Hint: You need to first calculate the Coupon for the bond using the bond valuation formula and then use the calculated coupon to calculate the coupon rate. 5.0% 5.25% 6.0% 6.5%
What is the price of a 4-year, 8.2% coupon rate, $1,000 face value bond that pays interest quarterly if the yield to maturity on similar bonds is 12.3%? The price of the bond is $ . (Round to the nearest cent.)
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