Question: Answer please I will give thumbs up! 1- A 9% annual coupon bond pays an annual interest and has a $1,000 par value. This bond
Answer please I will give thumbs up!
1- A 9% annual coupon bond pays an annual interest and has a $1,000 par value.
This bond is currently trading for $845.00. This bond has a current yield of ______percent. Please, show computations from the problem above.
2- A 20-year zero coupon bond has a par value of $1,000 and a required return of
12% annual rate and is compounded annually. This Zero bond would have an
intrinsic value at approximately_____.
Please, show computations from the problem above
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