1. A 3-year bond with 10% coupon rate and $1000 face value yields 8% APR. Assuming...
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1. A 3-year bond with 10% coupon rate and $1000 face value yields 8% APR. Assuming annual coupon payments, calculate the price of the bond. 2. A 5-year treasury bond with a coupon rate of 8% has a face value of $1000. What is the semi-annual interest payment? 3. A three-year bond has 8.0% coupon rate and face value of $1000. If the yield to maturity on the bond is 10%, calculate the price of the bond assuming that the bond makes semi- annual coupon interest payments. 1. A 3-year bond with 10% coupon rate and $1000 face value yields 8% APR. Assuming annual coupon payments, calculate the price of the bond. 2. A 5-year treasury bond with a coupon rate of 8% has a face value of $1000. What is the semi-annual interest payment? 3. A three-year bond has 8.0% coupon rate and face value of $1000. If the yield to maturity on the bond is 10%, calculate the price of the bond assuming that the bond makes semi- annual coupon interest payments.
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Answer rating: 100% (QA)
1 To calculate the price of the bond we need to calculate the present value of its cash flows coupon ... View the full answer
Related Book For
Introduction to Operations Research
ISBN: 978-1259162985
10th edition
Authors: Frederick S. Hillier, Gerald J. Lieberman
Posted Date:
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