7. An IBM bond has 11 years until maturity, a coupon rate of 8%, a par...

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Answer 1

Answer #1

Please refer to below spreadsheet for calculation and answer. Cell reference also provided.

P20 B / $1,000.00 8% Bond par value Coupon rate coupon frequency Years to maturity Current price of bond $1,150.00 8 a. Yield

Cell reference -

Hope this will help, please do comment if you need any further explanation. Your feedback would be highly appreciated.

Answer 2

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