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A 10% bond with semiannual coupons has a face amount of 100 and was issued on January 15 , 2010. The first coupon was paid on July 15, 2010, and the bond has a maturity date of January 15,2030 . The yield rate is i(2)=6% (c) Suppose that the bond is sold for a price of 100.25 on January 15,2021 , just after a coupon has been paid, and suppose that the original bondholder was able to deposit coupons into an account earning an annual interest rate of 12% convertible semi-annually. Find the average effective annual rate of return earned by the original bond purchaser on his/her investment. Assume that interest on the deposit account is credited every January 15 and July 15. (d) Find the full price and accrued interest of the bond on November 22, 2020 using a yield rate of i(2)=12%. Leave your answers to the nearest cent. A 10% bond with semiannual coupons has a face amount of 100 and was issued on January 15 , 2010. The first coupon was paid on July 15, 2010, and the bond has a maturity date of January 15,2030 . The yield rate is i(2)=6% (c) Suppose that the bond is sold for a price of 100.25 on January 15,2021 , just after a coupon has been paid, and suppose that the original bondholder was able to deposit coupons into an account earning an annual interest rate of 12% convertible semi-annually. Find the average effective annual rate of return earned by the original bond purchaser on his/her investment. Assume that interest on the deposit account is credited every January 15 and July 15. (d) Find the full price and accrued interest of the bond on November 22, 2020 using a yield rate of i(2)=12%. Leave your answers to the nearest cent
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