A coupon bond that pays interest of $55 annually has a par value of $1,000, matures...
A coupon bond that pays interest of $55 annually has a par value of $1,000, matures in 5 years, and is selling today at a $74.00 discount from par value. The current yield on this bond is _________.
Homework Answers
CURRENT YIELD = COUPON INTEREST/CURRENT PRICE
COUPON INTEREST = 55, CURRENT PRICE = 1000 - 74 = 926
CURRENT YIELD = 55/926 = 0.059395 = 5.94%
ANSWER : 5.94% (THUMBS UP PLEASE)
Add Answer to:
A coupon bond that
pays interest of $55 annually has a par value of $1,000, matures...
A coupon bond that pays interest of $60 annually has a par value of $1,000, matures...
A coupon bond that pays interest of $60 annually has a par value of $1,000, matures in 5 years, and is selling today at $883.31. What is the yield to maturity for this bond? a. 6% b. 7% c. 8% d. 9%
Coupon bond that pays interest of 8% annually has a par value of 1,000 matures in...
Coupon bond that pays interest of 8% annually has a par value of 1,000 matures in 20 years and is selling today at 1,200 ( or 120% ask price). Actual yield? Suppose that the bond is callable in 3 years at 100%. Therefore, the issuer has the right to buy the bond at par value after 2 years. In this case. what's the yield to call?
16. A coupon bond which pays interest of $40 annually, has a par value of $1,000,...
16. A coupon bond which pays interest of $40 annually, has a par value of $1,000, matures in 5 years, and is selling today at a $159.71 discount from par value. The actual yield to maturity on this bond is (in APR). 1) 5% 2) 6% 3) 7% 4) 8%
4. A coupon bond that pays interest semi-annually has a par value of $1,000, matures in...
4. A coupon bond that pays interest semi-annually has a par value of $1,000, matures in 5 years, and has a yield to maturity of 10%. The value of the bond today will be rate is 8% a. $1,075.80 b.$924.16 if the coupon c. $922.78 d. $1,077.20 e. none of the above 5. A zero-coupon bond has a yield to maturity of 9% and a par value of$1,000. Ifthe bond matu in 8 years, the bond should sell for a...
A coupon bond that pays interest annually has a par value of $1,000, matures in six...
A coupon bond that pays interest annually has a par value of $1,000, matures in six years, and has a yield to maturity of 11%. The intrinsic value of the bond today will be ________ if the coupon rate is 7.5%. A) $886.28 B) $851.93 C) $1,123.01 D) $1,000.00 E) $712.99
Coupon bond that pays interest of 4.69% annually has a par value of $1,000 matures in 20 years, and is selling today at...
Coupon bond that pays interest of 4.69% annually has a par value of $1,000 matures in 20 years, and is selling today at $850. Actual yield? The company than downgrades from investment grade to speculative grade and the new required yield is equal to 8%. What's the bond price now?
A coupon bond which pays interest of $60 annually, has a par value of $1,000, matures...
A coupon bond which pays interest of $60 annually, has a par value of $1,000, matures in 5 years, and is selling today at a 584.52 discount from par value. The approximate yield to maturity on this bond is A6% B. 7% C. 8% D. 9% For a discount bond, its coupon rate is_than its yield to maturity and its price is expected to ___over the years. A B. C. D. Greater; increase Greater; decrease Lower; increase Lower; decrease A...
A coupon bond that pays interest annually has a par value of $1000, matures in 11...
A coupon bond that pays interest annually has a par value of $1000, matures in 11 years, and has a yield to maturity of 3%. If the coupon rate is 7%, the intrinsic value of the bond today will be
A coupon bond that pays interest annually has a par value of $1000, matures in 11...
A coupon bond that pays interest annually has a par value of $1000, matures in 11 years, and has a yield to maturity of 3%. If the coupon rate is 7%, the intrinsic value of the bond today will be
A coupon bond pays annual interest, has a par value of $1,000, matures in 5 (five)...
A coupon bond pays annual interest, has a par value of $1,000, matures in 5 (five) years, has a coupon rate of 7.45%, and has a yield to maturity of 8.82%. The current yield on this bond is ________%. (2 decimal place)
A coupon bond that pays interest of $60 annually has a par value of $1,000, matures in 5 years, and is selling today at $883.31. What is the yield to maturity for this bond? a. 6% b. 7% c. 8% d. 9%
16. A coupon bond which pays interest of $40 annually, has a par value of $1,000, matures in 5 years, and is selling today at a $159.71 discount from par value. The actual yield to maturity on this bond is (in APR). 1) 5% 2) 6% 3) 7% 4) 8%
4. A coupon bond that pays interest semi-annually has a par value of $1,000, matures in 5 years, and has a yield to maturity of 10%. The value of the bond today will be rate is 8% a. $1,075.80 b.$924.16 if the coupon c. $922.78 d. $1,077.20 e. none of the above 5. A zero-coupon bond has a yield to maturity of 9% and a par value of$1,000. Ifthe bond matu in 8 years, the bond should sell for a...
A coupon bond which pays interest of $60 annually, has a par value of $1,000, matures in 5 years, and is selling today at a 584.52 discount from par value. The approximate yield to maturity on this bond is A6% B. 7% C. 8% D. 9% For a discount bond, its coupon rate is_than its yield to maturity and its price is expected to ___over the years. A B. C. D. Greater; increase Greater; decrease Lower; increase Lower; decrease A...
A coupon bond that pays interest annually has a par value of $1000, matures in 11 years, and has a yield to maturity of 3%. If the coupon rate is 7%, the intrinsic value of the bond today will be
A coupon bond that pays interest annually has a par value of $1000, matures in 11 years, and has a yield to maturity of 3%. If the coupon rate is 7%, the intrinsic value of the bond today will be
Most questions answered within 3 hours.
-
When an object moves through a fluid, the fluid exerts a viscous
force F on the...
asked 1 hour ago -
Why did the observed chemistry of thallium mislead Mendelev to
place the group 13 element (Tl)...
asked 2 hours ago -
A sine wave signal is displayed on the screen of an
oscilloscope. 6 peak-to-peak divisions are...
asked 5 hours ago -
a
1500 kg car accelerates from 0 to 25 m / s in 21.0s. How much...
asked 6 hours ago -
Calculate the molarity of each of the following solutions:
(a) 30.5 g of ethanol (C2H5OH) in...
asked 6 hours ago -
1 Refer to the build-borrow-or-buy framework as a decision tree
for the Adidas company. Identify a...
asked 6 hours ago -
Problem 2: The Problem of Social Cost. A Rancher and Farmer live
side-by-side to each other....
asked 8 hours ago -
a uniform bar of weight 40N is 4 meter long. weights
on 60N and 100N are...
asked 7 hours ago -
Define Diet counceling? What are the
responsibilities of a counselor?
asked 9 hours ago -
Hey im just confused about how to put the ' A angle n' and ' S...
asked 9 hours ago -
A short essay about the WSJ article on Oreo versus Hydrox.
asked 9 hours ago -
##8. A program contains the following function definition:
##def cube(num):
##return num * num * num...
asked 9 hours ago