A Rs $100$ par value bonds bears a coupon rate is $12$ percent and matures after $6$ years. Interest is payable semi$-$annually. Compute the value of the bond if the required rate of return is $16$ percent, compounded semi$-$ annually.

A stock had returns of $9\%,6\%,4\%,$ and $16\%$ over the past four years. What is thesomeone offer you the following financial contract. If you deposit Rs $20,000$ with him he promises to pay Rs $4000$ annually for $10$ years. What interest rate would you earn on this deposit?

Answer rating: 100% (QA)

To calculate the value of the bond 1 Determine the periodic coupon payment Rs 100 par value 12 coupo... View the full answer