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10. Bond listings and yield spreads The following bond list is from the business section of a financial newspaper on January 1, 2016. Assume that

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10. Bond listings and yield spreads The following bond list is from the business section of a financial newspaper on January 1, 2016. Assume that each bond shown matures on January 1 in 5, 10, or 30 years. Each bond shown pays a semiannual coupon and the coupon rate is in the column labeled Coupon The Last Price and Last Yield columns indicate each bond's price and YTM at the end of trading. EST Spread indicates the bond's spread above the relevant US Treasury benchmark, expressed as a percentage. UST indicates which US Treasury security maturity is the relevant benchmark for sach band. EST Volume shows the number of bonds traded during the day. Notice also that prices are stated relative to a par value of $100. Assume all bonds have the same default premium. Fill in the value of Keedster Co.'s bonds. Coupon Last Price Maturity 01-01-2026 EST Spread 2379 Last Yield 8.57% 5.989 UST (Years) 10 8.25% Company Stay Corp. Global Corp. Logistics Corp. 5.8096 5 $97.57 $99.22 $104.07 388.14 01-01-2021 01-01-2026 01-01-2045 8.9896 EST Volume (1000) 59.725 52.930 46,932 45,120 43,960 10 0.58% 2.17% 4.035 0.86% 8.379 10.98% 30 Sto Co. Keedster Co. 9.6396 4.13% 01-01-2021 6,269 5 If you were to calculate the yield on a security with a 10-year US Treasury security, the yield will be equal to If you were to calculate the yield on a security with a 10-year US Treasury security, the yield will be equal to which bond is trading at a premium? Logistics Corp. Sto Co. Keedsler Co. Global Corp

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