Question: Q1) For a 3 year bond with a face value of $100 and a coupon rate as well as a market rate of 7% CALCULATE

Q1) For a 3 year bond with a face value of $100 and a coupon rate as well as a market rate of 7% CALCULATE THE PRICE OF THE BOND AND THE BOND WILL SELL AT DISCOUNT, PAR OR PREMIUM AND WHY ?

Q2) Calculate the price of a 3 year bond with a face value of $10000, coupon rate of 7% annually and annual market yield of 7% annually. Coupon payments are made semi annually.

Q3) What is the yield to maturity for a 3- year bond with a face value of $100000, a coupon rate of 9%,and the current price of the bond is $75000. Coupon payments are made annually

Q4) What is the annual yield to maturity for a 10 year bond with a face value of $40000, a coupon rate of 3% being bought by an investor for $ 45000? Interest payments are made quarterly

Q5)Camila, as an investor, is interested in buying a preference share of a firm that pays a dividend of $0.40 every half year. If she discount such cash flows at 7% per annum, what is the price of the share?

Q6)Hawkins Ltd. has a perpetual preference share issue that pays a dividend $12 per year. Shareholders require a 12 per cent return on such an investment. What should be the price of the preference share??

Q7)Samsung's preference shares have an annual dividend of $5 (paid semi annually), a par value of $100, and an effective maturity of 20 years. If similar preference shares issues have market yields of 4%. Calculate the value of Samsung's share price.

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