Consider the following details for a bond issued by Bravo Incorporated: issue date 8/5/2000 maturity date 8/5/2030

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Consider the following details for a bond issued by Bravo Incorporated:

issue date 8/5/2000

maturity date 8/5/2030

annual coupon rate (semi-annual coupons) 9%

face value 1,000

Suppose that today's date 8/5/2004, what should the current trading price by for this bond if investors want a 12% annual return?

Related Book For answer-question

Principles of Finance

ISBN: 978-1285429649

6th edition

Authors: Scott Besley, Eugene F. Brigham

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Posted Date: Feb 11, 2019 10:04 AM

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Consider the following details for a bond issued by Bravo Incorporated: issue date 8/5/2000 maturity date 8/5/2030

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Bond value is equal to the sum of present value of coupon payments and the present value of face amo... View the full answer

Principles of Finance

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