Using a Spreadsheet to Calculate Bond Values: Xcel What is the bond quote for a $1,000 face

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Using a Spreadsheet to Calculate Bond Values: Xcel What is the bond quote for a $1,000 face value bond with an 8 percent coupon rate (paid semiannually) and a required return of 7.5 percent if the bond is 6.48574, 8.47148, 10.519, and 14.87875 years from maturity? (LG 6-2) Face Total Periodic Coupon Required The Bond Value Value Payments Payment Return Will Be 100% 6.48574 x 2 = 12.97148 8%/2=4% 7.5% 102-17% 100 8.47148 x 2 = 16.94296 4 7.5 103-03 100 10.519 x 2 = 21.0380 4 7.5 103-19 100 14.87875 x 2 = 29.7575 4 7.5 104-14

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Financial Markets And Institutions

ISBN: 9780078034664

5th Edition

Authors: Anthony Saunders, Marcia Cornett

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