Question: There are some bonds shown as a negative yield. Explore why? (2) Calculate (estimate) the YTM of the bond TSLA4530907. Be sure to show your
There are some bonds shown as a negative yield. Explore why? (2) Calculate (estimate) the YTM of the bond TSLA4530907. Be sure to show your work. You may assume the bonds are semiannual coupon bonds. Also know that the bond prices are expressed as percentage of par e.g. $101 means 101% of par value. (3) Compare the bond TSLA4530907 with TSLA4530906. Whats the difference between these two bonds? Why their YTM is different even though they both mature on the same day? (4) Ultimately, what is the estimated cost of debt you should use for Tesla?
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