Question: Answer given, please show working out: ABC Ltd' issued ten-year bonds one year ago at a coupon rate of 4.00%. Face value : $10,000,000, half-yearly

Answer given, please show working out:

ABC Ltd' issued ten-year bonds one year ago at a coupon rate of 4.00%.

Face value : $10,000,000, half-yearly repayments.

Yield to maturity of these bonds is 2.90%.

Please calculate:

1) the current bond price. Please answer this question with full workings.

2) bond value. =>Answer is $10865867.28. Please show all workings.

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