On 10/04/18, consider a fixed-coupon bond whose features are the following: • face value: $1,000 • coupon rate: 8% • coupon frequency: semiannual • maturity: 12/06/18 What are the future cash flows delivered by this bond?

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On 10/04/18, consider a fixed-coupon bond whose features are the following: • face value: $1,000 • coupon rate: 8% • coupon frequency: semiannual • maturity: 12/06/18 What are the future cash flows delivered by this bond?

On 10/04/18, consider a fixed-coupon bond whose features are the following:

• face value: $1,000

• coupon rate: 8%

• coupon frequency: semiannual

• maturity: 12/06/18

What are the future cash flows delivered by this bond?

finance Time-Value-Of-Money

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Answer 1

Answer #1

Considering Bond is issues on 10/04/2018

Future Cash flow will be

Face Value - $1000

Coupon Amount from (10/04/18 - 12/06/18 = 64 days) @8%p.a = 1000*8%*64/365 = $14.02

Total Future cash flow= $1014.02

answered by: anonymous

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Answer 2

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On 10/04/18, consider a fixed-coupon bond whose features are the following: • face value: $1,000 • coupon rate: 8% • coupon frequency: semiannual • maturity: 12/06/18 What are the future cash flows delivered by this bond?

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On 10/04/18, consider a fixed-coupon bond whose features are the following: • face value: $1,000 • coupon rate: 8% • coupon frequency: semiannual • maturity: 12/06/18 What are the future cash flows delivered by this bond?

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Add Answer to: On 10/04/18, consider a fixed-coupon bond whose features are the following: • face value: $1,000 • coupon rate: 8% • coupon frequency: semiannual • maturity: 12/06/18 What are the future cash flows delivered by this bond?

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On 10/04/18, consider a fixed-coupon bond whose features are the following: • face value: $1,000 • coupon rate: 8% • coupon frequency: semiannual • maturity: 12/06/18 What are the future cash flows delivered by this bond?