Price of bond=Face value/(1+market interest rate/2)^(2*time period)
=1000/(1+0.049/2)^(2*24)
=1000*0.312914572
=$312.91(Approx).
Calculate the price of a zero-coupon bond that matures in 24 years if the market interest...
Item 7Item 7 Calculate the price of a zero-coupon bond that matures in 15 years if the market interest rate is 3.5 percent. Assume semiannual compounding. (Do not round intermediate calculations and round your final answer to 2 decimal places.)
thats the only information given 7. Calculate the price of a zero coupon bond that matures in 20 years if the market interest rate is 4.5 %. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Zero coupon bond price 7. Calculate the price of a zero coupon bond that matures in 20 years if the market interest rate is 4.5 %. (Do not round intermediate calculations and round your final answer to 2 decimal...
Problem 7-11 Zero-Coupon Bond Price (LG7-4) Calculate the price of a zero-coupon bond that matures in 20 years if the market interest rate is 3.8 percent. Assume semiannual compounding. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Zero-coupon bond price At the beginning of the month, you owned $6,000 of News Corp. $5,000 of First Data, and $8,500 of Whirlpool. The monthly returns for News Corp. First Data, and Whirlpool were 8.24 percent, -2.59...
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