Question
1) What is the price of a 3-year, 8.5 % coupon rate, $ 1,000 face value bond that pays interest quarterly if the yield to
1)What is the price of a 3-year, 8.5 % coupon rate, $ 1,000 face value bond that pays interest quarterly if the yield to maturity on similar bonds is 12.4 %? The price of the bond is $
2) A 10 -year bond pays interest of $ 27.60 semiannually, has a face value of $ 1,000 and is selling for $ 724.70. What are its annual coupon rate and yield to maturity?
The annual coupon rate is %.
The yield to maturity is %
3) Wee Beastie Animal Farm bonds have 7 years to maturity and pay an annual coupon at the rate of 6.4 %. The face value of the bonds is $ 1,000 The price of the bonds is $ 1,067.14 to yield 5.23%.What is the capital gain yield on the bonds?
A.+0.73
B.+0.76%
C.0.87%
D.0.77%
E.-0.69%
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