Question

2. A $1,000 par value bond with four years left to maturity pays an interest payment semiannually with a 4 percent coupon rate and is priced to have a 35 percent yield to matunty. If interest rates surprisingy increase by 0.5 percent, by how much would the bonds price change? (Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16) Bonds price Click to selec) by s (Click to select) decreased increased
0 0
Add a comment Improve this question Transcribed image text
Answer #1

with yTnǐ 3:51. Seciannuaco brice 8 600 or し0175 1018.51 Gend frice docstared bu $18.5

Please do rate me and mention doubts, if any, in the comments section.

Add a comment
Know the answer?
Add Answer to:
2. A $1,000 par value bond with four years left to maturity pays an interest payment...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT