Question
(10 points) It is October 16, 2021 and you have just begun work with XYZ Financial Services. A client has seen the following price information
(10 points) It is October 16, 2021 and you have just begun work with XYZ Financial Services. A client has seen the following price information about American Bank Corp. (ABC) bond in the Wall Street Journal and has asked:
Symbol | Coupon | Maturity | Last | Change | Yield% |
ABC.BC | 4.125 | 05/05/45 | 88.888 | -0.123 | (1)??????? |
ABC.DE | 9.785 | 12/12/45 | (2)??????? | 0.456 | 7.777 |
Note: These bonds pay coupons semi-annually.
a. (4 points) Supply the missing information for each of the bonds. Provide all the calculator keyboard information such as SDT, CPN, RDT, and /or PRI/YLD.
b. (4 points) Find the current yield and one-year capital gains yield for each of the bonds.
c. (2 points) What was the yesterdays price for each of the bonds?
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