What is the current yield for a $1,000 par value bond that pays interest semiannually, has 9 years to maturity, and is currently selling for $937 with a bond equivalent yield of 12%?
Answer to relevant QuestionsAn investor is considering the purchase of an 8%, 18-year corporate bond that’s being priced to yield 10%. She thinks that in a year, this bond will be priced in the market to yield 9%. Using annual compounding, find the ...A 10%, 25-year bond has a par value of $1,000 and a call price of $1,075. (The bond’s first call date is in 5 years.) Coupon payments are made semiannually. a. Find the current yield, YTM, and YTC on this issue, given that ...Using annual compounding, find the yield to maturity for each of the following bonds. a. A 9.5%, 20-year bond priced at $957.43 b. A 16%, 15-year bond priced at $1,684.76 c. A 5.5%, 18-year bond priced at $510.65 Now assume ...A 15-year bond has an annual-pay coupon of 7.5% and is priced to yield 9%. Calculate the price per $1,000 par value. One year ago, Super Star Closed-End Fund had an NAV of $10.40 and was selling at an 18% discount. Today, its NAV is $11.69 and it is priced at a 4% premium. During the year, Super Star paid dividends of $0.40 and had a ...
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