Question

suppose there is a bond with 5% semi-annual coupon payments and a face value of $1000....

suppose there is a bond with 5% semi-annual coupon payments and a face value of $1000. there are 10 years to maturity and the yields to maturity are 7 % what is the price of this bond? show your calculations.

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
your firm has outstanding bonds with semi annual coupon payments and a face value of $1000....
your firm has outstanding bonds with semi annual coupon payments and a face value of $1000. the price today is $1075, the yield yo maturity is 8% and the bonds mature in 15 years. A) compute the annual coupon rate B) compute the capital gains yield C) is the bond a premium or discount? why? D) if the bond price goes up, what will happen to the coupon rate?
a treasury bond has an annual coupon rate of 5% that is paid semi-annually. the Face...
a treasury bond has an annual coupon rate of 5% that is paid semi-annually. the Face Value of the bond is $1000 and it has 10 years to maturity with a yield to maturity of 6% (expressed as an apr with semi annual compounding) commpute the price of the bond.
A 6% coupon bond Which face value $1000, Maturity of five years and paying semi-annual coupon...
A 6% coupon bond Which face value $1000, Maturity of five years and paying semi-annual coupon payment sales of $1050 A) What is yield to maturity. b) what would happen if yield to maturity if it’s price suddenly falls to $900.
What is the fair value of a $1000 face value, fixed coupon bond with a coupon...
What is the fair value of a $1000 face value, fixed coupon bond with a coupon rate of 3.7%, yield to maturity of 4.0%, semi-annual coupon payments and 8 years to maturity? A. $887.24 B. 998.03 C. 979.63 D. 968.17
Consider the following bond issued by Halliburton: coupon rate: 7.129% with semi-annual coupon payments Face value:...
Consider the following bond issued by Halliburton: coupon rate: 7.129% with semi-annual coupon payments Face value: $1,000 Bond matures in 21 years Suppose, for the sake of argument, that the annual discount rate is 7.958%, with semi-annual compounding. What is the value of the bond?
You are considering investing in a $1000 face value 8% semi-annual coupon bond with 3 years...
You are considering investing in a $1000 face value 8% semi-annual coupon bond with 3 years left to maturity. Similar bonds are yielding 9.5% in the market, so the current price of this bond is _______, and if market interest rates drop to 8.25% the selling price of the bond would _____________?
9) what should the price be for a $1000 face value bond with a 1% coupon...
9) what should the price be for a $1000 face value bond with a 1% coupon rate, semi-annual coupon payments, and five years to maturity if the YTM is 12% a) $568 b)$595 c) $689 d)$1000   10) What is future of $10 invested today, if it is invested for three years with annual compounding at a 24% interest? a) 11.9 b) 17.2 c)19.1 d) 20.1
What is the value of a 5-year, 8.0% coupon rate, $1,000 face value bond with semi-annual...
What is the value of a 5-year, 8.0% coupon rate, $1,000 face value bond with semi-annual coupon payments, if similar bonds (same maturity, same risk profile) are trading at a yield to maturity of 6.25%?
A bond pays a 5% coupon and makes semi-annual payments. The bond has 10 years to...
A bond pays a 5% coupon and makes semi-annual payments. The bond has 10 years to maturity and a YTM of 6%. What is the current bond price?
What is the price of a $1000 face value zero-coupon bond with 4 years to maturity...
What is the price of a $1000 face value zero-coupon bond with 4 years to maturity if the required return on these bonds is 3%? Consider a bond with par value of $1000, 25 years left to maturity, and a coupon rate of 6.4% paid annually. If the yield to maturity on these bonds is 7.5%, what is the current bond price? One year ago, your firm issued 14-year bonds with a coupon rate of 6.9%. The bonds make semiannual...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT