Bonds with face value of 1000 baht, 5-year maturity, coupon payment twice a year, for the...

 

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Bonds with face value of 1000 baht, 5-year maturity, coupon payment twice a year, for the first 2 years, coupon equal to 6%, year 3-5, coupon payment 7.5%. If interest rate until maturity equals 9%, find the price of the bond. Answer price...............baht Asset AB C find the following values Government Bond Yield 4.0% per year The average return that the stock market gives over government bonds is 7.0% per year. Portfolio Beta Answer......... Weight 45% 30% 25% Portfolio Expected Returns Answer.... Beta 1.80 1.30 0.80 % per year Bonds with face value of 1000 baht, 5-year maturity, coupon payment twice a year, for the first 2 years, coupon equal to 6%, year 3-5, coupon payment 7.5%. If interest rate until maturity equals 9%, find the price of the bond. Answer price...............baht Asset AB C find the following values Government Bond Yield 4.0% per year The average return that the stock market gives over government bonds is 7.0% per year. Portfolio Beta Answer......... Weight 45% 30% 25% Portfolio Expected Returns Answer.... Beta 1.80 1.30 0.80 % per year

Answer rating: 100% (QA)

1 Calculate the price of the bond we can use the present value of cash flows approach The cash flows consist of the semiannual coupon payments and the ... View the full answer