Question: use price and yield function A B D 2 Problem: 3 You are given the following data for two bonds with semiannual payments (A and

A B D 2 Problem: 3 You are given the following data for two bonds with semiannual payments (A and B) 4 5 Bond A B 6 Settlement Date 2/15/2020 2/15/2020 7 Maturity Date 2/15/2040 2/15/2040 8 Coupon rate 8% 4% 9 10 Similar bonds with 20 year to maturity sell for 4.5% coupon rates in the market. 11 Calculate the bond value for bond A and B 12 Calculate the YTM for bond A and B
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