Question

you are looking at a 24 year zero-coupon bond that has a yield to maturity of 2.7%. what is the value of the bond? assume semi annual compounding

Answer #1

You are looking at a 13-year zero-coupon bond that has a yield
to maturity of 4.9% . What is the value of the bond? Assume
semi-annual compounding.
What is the yield on a 19-year bond that pays a semi-annual
coupon of 28 and sells for $1000. Answer as a percent.

1. What is the yield on a 18-year bond that pays a semi-annual
coupon of $9 and sells for $1000. Answer as a percent.
2. You are looking at a 9-year zero-coupon bond that has a yield
to maturity of 1.4% . What is the value of the bond? Assume
semi-annual compounding.

You are purchasing a 20-year, zero-coupon bond. The annual yield
to maturity is 9.80 percent and the face value is $1,000. What is
the current market price? Assume (r) is bi-annual for compounding
purposes in case of zero-coupon bond.

You purchase a zero coupon bond with 22 years to maturity and a
yield to maturity of 5.49 percent. The bond has a par value of
$1,000. What is the implicit interest for the first year? Assume
semiannual compounding

1. A 9-year zero coupon bond has a yield to maturity of
11.8 percent, and a par value of $1,000. What is the
price of the bond?
2. A 7-year bond has a 8 percent coupon rate with the interest
paid in semi annual payments. The yield to maturity of
the bond is 2.3 percent, and a face value of
$1,000. What is the price of the bond?
3. A 12-year bond has a 9 percent annual coupon, a yield to
maturity of...

You purchase a zero coupon bond with 21 years to maturity and a
yield to maturity of 5.53 percent. The bond has a par value of
$1,000. What is the implicit interest for the first year? Assume
semiannual compounding.
$17.24
$17.39
$17.83
$15.60
$17.12

You bought a 10-year zero-coupon bond with a face value of
$1,000 and a yield to maturity of 2.7% (EAR). You keep the bond for
5 years before selling it. The price of the bond today is P 0 = F (
1 + r ) T = 1,000 1.027 10 = 766.12
If the yield to maturity is still 2.7% when you sell the bond at
the end of year-5, what is your personal ANNUAL rate of return?

Company A offers a zero coupon bond with a yield to maturity of
25 percent. The bond matures in 1 years and has a face value of
$1,000. What is this bond worth today? Assume annual
compounding.
A) $1000
B) $800
C) $1250
D) $1562.5
E) $640

5a- Compute the yield to maturity for a zero coupon bond with a
maturity of 14 years and a face value of $1000. The bond is selling
for $519.52. (Assume annual discounting.) (Round to 100th of a
percent and enter as a percentage, e.g. 12.34% as 12.34)
Answer:
5b- Compute the current yield on a bond with a yield to maturity
of 10.3%, a par value of $1000, a coupon rate of 6.0% paid
semi-annually, a remaining life of 18...

You have just purchased a 11-year zero-coupon bond with a yield
to maturity of 9% and a par value of $1,000. What would your rate
of return at the end of the year be if you sell the bond? Assume
the yield to maturity on the bond is 10% at the time you sell.

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