Question: could you please elaborate on question 26? Consider a bond with a settlement date of February 22, 2022, and a maturity date of March 15,
could you please elaborate on question 26?
Consider a bond with a settlement date of February 22, 2022, and a maturity date of March 15, 2030. The coupon rate is 5.5%. (LO 10-1) a. If the yield to maturity of the bond is 5.34% (bond equivalent yicld, semiannual compounding), what is the list price of the bond on the settlement date? b. What is the accrued interest on the bond? c. What is the invoice price of the bond?
Now suppose the bond in the previous question is selling for 102. (LO 10-2) a. What is the bond's yield to maturity? b. What would the yield to maturity be at a price of 102 if the bond paid its coupons only once per year?
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