QUESTION 10 Walmart has a 5.9% coupon 25 year bond (par value - 1,000). Assume that...

Question

Question

Answer 1

Answer #1

Function Arguments ? X RATE Nper Pmt 25*2 59/2 -1020.5 1000 o 1 1 1 1 = 50 = 29.5 = -1020.5 = 1000 Pv FV Type = 0.028722476 R

Hence, Yield to maturity is 5.74 or 5.7 (2.87%*2)

Please rate thumbs up

Add a comment

Answer 2

Similar Homework Help Questions

Walmart has a 8.3% coupon 20 year bond (par value = 1,000). Assume that coupon payments...

Walmart has a 8.3% coupon 20 year bond (par value = 1,000). Assume that coupon payments are semi-annual and that the current price is $980.50. What is the yield-to-maturity of this bond? Be sure to report on an annualized basis and as a raw number - i.e. if your answer is 6.5%, input as 6.5.
QUESTION 4 Gilead Sciences has 20 year bond with par value of 1,000 and a 6.55%...

QUESTION 4 Gilead Sciences has 20 year bond with par value of 1,000 and a 6.55% coupon (coupon payments are semiannual). The current price is $965,45. What is the yield to maturity of this bond? Be sure to report this as a raw number ( don't write it as a decimal and don't include a symbolle. 5.5% should be entered as 5.5, not 0.055 ) and on an annualized basis.
A 20 year, 8% semi-annual coupon bond with a par value of $1,000 may be called...

A 20 year, 8% semi-annual coupon bond with a par value of $1,000 may be called in 10 years at a call price of $1,100. The bond sells for $1,200. e. How would the price of the bond be affected by a change in the going market interest rates? Please show work ( by adding numbers or CELL with formula if needed). Thank you, will rate. L M N I e a A 20 year, 8% semi-annual coupon bond with...

Assume a bond has a coupon rate of 4%, par value of $1,000, and 14 years...

Assume a bond has a coupon rate of 4%, par value of $1,000, and 14 years left to maturity.The bond indenture specifies semi-annual payments and the yield to maturity is 5.5%. What is the market price of the bond? (enter rounded to the nearest dollar without the dollar sign and a comma, such as 1000)
1. ABC, Inc. has issued a 21-year bond with a par value of $1,000, coupon rate...

1. ABC, Inc. has issued a 21-year bond with a par value of $1,000, coupon rate of 7.42%. The yield to maturity (YTM) is 3.03%. Assume semi-annual payments. What is today's price of this bond?Note: Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. 2.A 5% semiannual coupon bond maturing in 5 years with a par value of $100 is trading at $95. Calculate the yield to maturity. 3.Suppose you...
A 25-year, $1,000 par value bond has an 8.5% semi-annual coupon. The bond currently sells for...

A 25-year, $1,000 par value bond has an 8.5% semi-annual coupon. The bond currently sells for $875. What is the Yield to Maturity of this 25-year bond?

A 15-year bond with a 10 percent semiannual coupon has a par value of $1,000. The...

A 15-year bond with a 10 percent semiannual coupon has a par value of $1,000. The bond may be called after 10 years at a call price of $1,050. The bond has a nominal yield to call of 6.5 percent. What is the bond's yield to maturity, stated on a nominal, or annual basis? a.5.97% b.6.30 % c. 6.75% d.6.95 % 0 .7.10 %
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...
Question 15 1 pts Assume that you wish to buy a bond with 27 years to maturity, with a par value of $1,000, and a coupo...

Question 15 1 pts Assume that you wish to buy a bond with 27 years to maturity, with a par value of $1,000, and a coupon rate of 22.33%. Assume semi-annual payments. If the yield to maturity (YTM) is 21.43%, what is today's price of this bond? Note: Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. Question 16 1 pts Price a 2-yr 4% semiannual coupon bond with a...

Question 15 1 pts Assume that you wish to buy a bond with 27 years to maturity, with a par value of $1,000, and a coupo...

Question 15 1 pts Assume that you wish to buy a bond with 27 years to maturity, with a par value of $1,000, and a coupon rate of 22.33%6. Assume semi-annual payments. If the yield to maturity (YTM) is 21.43 % , what is today's price of this bond? Note: Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box Question 16 1 pts Price a 2-yr 4% semiannual coupon bond...