Question

The U.S. Treasury has just issued a five-year, $1000 (face
value) bond with a coupon rate of 5% and paying semi-annual
coupons. The bond is currently trading at 957.35. Calculate the YTM
on the bond. NOTE: This is a coupon bond.

Please show all work

Answer #1

The US Treasury issued a 10-year bond with an annual coupon of
5% (face value 100). What is its price if the market requires a
yield-to-maturity of 5%? What is its price if its coupon is paid
semi-annually? Please show your work.

Oceanic Cruises Inc. has just issued a 5-year bond. The face
value of the bond is 1,000 €. The bond is based in Europe and pays
coupons annually; being the annualized coupon yield (=coupon rate)
6.6%. The current market interest rate for the bond (YTM) is 6% in
annual terms. Please, find the fair value for the bond:

Avicorp has just issued some five-year bonds, with a 6% coupon
rate. The debt has semi-annual coupons, the next coupon is due in
six months, and the face value is $1000. It is currently priced at
95% of par value. What is Avicorp’s pre-tax cost of debt (expressed
in APR)?

Redd Industries has just issued a callable, $1000 par value,
five-year, 5% coupon bond with semiannual coupon payments. The bond
can be called at par in three years or anytime thereafter on a
coupon payment date. If the bond is currently trading for $950.00,
then its yield to maturity is closest to:
Select one:
A. 6.5%
B. 6.18%
C. 6.0%
D. 6.8%
Redd Industries has just issued a callable, $1000 par value,
five-year, 5% coupon bond with semiannual coupon payments....

Acme Inc. just issued a bond with a $10,000 face value and a
coupon rate of 7%. If the bond has a life of 30 years, pays
semi−annual coupons, and the yield to maturity is 9%, what will
the bond sell for?

J&J Manufacturing just issued a bond with a $1,000 face
value and a coupon rate of 7%. If the bond has
a life of 20 years, pays semi-annual coupons, and the yield to
maturity is 7.5%, what is the value
of the bond? (948.62)
Answer provided. Please explain and how to do it.

What is the price of a 4-year bond with a coupon rate of 10% and
face value of $1,000? Assume the bond is trading at 10% yield, and
that coupons are paid semi-annually. Assume semi-annual
compounding.
Round your answer to the nearest cent (2 decimal places).
What is the yield of a 3-year bond with a coupon rate of 9% and
face value of $100? Assume the bond is currently trading at a price
of $100, and that coupons are...

A Treasury bond has a face value of $10,000, a coupon of 8%, and
several years to maturity. Currently this bond sells for $9,260,
and the previous coupon has just been paid. What is the forward
price for delivery of this bond in 1 year? Assume that the interest
rates for 1 year out are flat at 9% semiannually compounded. The T
Bond pays coupons semi-annually. If the forward is trading in the
market for $9,500 what will you do?

16. A 10-year bond, $100 face value bond with a 8% coupon rate
and semi-annual coupons has a yield maturity of 5%. The bond should
be trading at a price of $.___ Round to the nearest cent.
17. XYZ company has just issued a 30-year bond with a coupon
rate of %7.5 (annual coupon payments) and a face value of $1,00. If
the yield to maturity is 11%, what is the price of the bond. Round
to the nearest cent....

A company releases a? five-year bond with a face value of? $1000
and coupons paid semiannually. If market interest rates imply a YTM
of 8%, which of the following coupon rates will cause the bond to
be issued at a? premium?
A. 6%
B.10%
C. 8%
D. 5%

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