a.) Suppose you have an 8% semi-annually compounded bond with a face value of $1000 that matures in 7 years. if the yield to maturity is. 10%. what is the price of this bond?

 

b.) The 6 percent bond of xyzy Inc. is selling for $1040 and has a yield to maturity of 4.85%. how many years will it be until these bonds mature? assume semi-annual compounding. 

Answer rating: 100% (QA)

Lets solve each problem step by step a To calculate the price of the bond we can use the formula for ... View the full answer