Ans A) Current Yield
The characteristics of fixed coupon bond include coupon rate, maturity, par amount.
+) Which of the following characteristic is NOT fixed on a coupon bond? A) Current yield...
Which one of the following relationships applies to a par value bond? Multiple Choice Yield to maturity > Current yield > Coupon rate Coupon rate > Yield to maturity > Current yield Coupon rate = Current yield = Yield to maturity Coupon rate < Yield to maturity < Current yield Coupon rate > Current yield > Yield to maturity
2. A coupon bond pays annual int coupon rate of 10%, and has a yield to maturity of annual interest, has a par value of $1.000, matures in 4 years, has a ed to maturity of 12%. The current yield on this bond is a. 10.52% b. 10.45% c. 10.95% d. 10.65% e. none of the above 3. A coupon bond that pays interest annually is selling op and has a coupon rate of 9%. The yield to maturity on...
If a coupon bond has two years to maturity, a coupon rate of 8%, a par value of $800, and a yield to maturity of 12%, then the coupon bond will sell for $ (Round your response to the nearest two decimal place) The price of a bond and its yield to maturity are Positively related, negitively related, or unrelated. which of the following statements is not true? A. The longer to maturity, the greater is the change in the...
If a coupon bond has two years to maturity, a coupon rate of 10%, a par value of S900, and a yield to maturity of 14%, then the coupon bond will sell for $(Round your response to the nearest two decimal place The price of a bond and its yield to maturity are Which of the following statements is not true? O A. Current yield is a worse approximation of yield to maturity for long-term bonds when compared to short-term...
1. A Treasury bond has a 10% annual coupon and a 10.5% yield to maturity. Which of the following statements is CORRECT? * A. The bond sells at a price below par. B. The bond has a current yield less than 10%. C. The bond sells at a discount. D. A&C E. None of the above.
A bond that has a yield to maturity of 14% and a current yield of 8% A. Sells at a premium. B. Sells at par. C. Has a coupon rate in excess of the market rate of interest. D. Has a coupon rate less than the market rate of interest.
Which one of the following is true? If a bond with a current yield of 7.34 percent is quoted at 103.835, then the annual coupon is $7.62. A bond with a par value of $5,000 is quoted at 101.273. The dollar price of the bond is $5,097.41. A bond has a par value of $1,000, a current yield of 7.43 percent, and semiannual coupon payments. The bond is quoted at 98.83. Then, the coupon rate of the bond is O...
A fixed coupon bond with 12 years left until maturity has a coupon rate of 7% paid semi-annually. If the price of the bond is $1,060, its annual yield to maturity is _______%. Par value is $1,000. A. 6.281 B. 6.274 C. 3.137 D. 6.395
37. Consider a five-year bond with a 10% coupon that has a present yield to maturity of 8%. If interest rates remain constant, one year from now the price of this bond will be: a) Par b) Higher c) Lower d) The same e) None of the above 38. ABC issued in 2018 a fifteen-year bond with coupon interest rate 4% and €1,000 face value. Today this bond is sold at €900. Which is the bond’s current yield? a) 0.062...
15. Which of the following is CORRECT about the arbitrage-free price of a coupon bond? The sum arbitrage-free price of a coupon bond. The coupon of the present value of all cash flows (discounted at the required yield) is the A. B. C. The the present value of all cash flows (discounted at the spot rate of the bond's final term to maturity) is the arbitrage-free price of a coupon bond. of the present value of all cash flows (discounted...