Question
10. Whatever Incorporated, has a bond outstanding with a coupon rate of 6.02 percent and semiannual payments. The yield to maturity is 5.9 percent and
10. Whatever Incorporated, has a bond outstanding with a coupon rate of 6.02 percent and semiannual payments. The yield to maturity is 5.9 percent and the bond matures in 16 years. What is the market price if the bond has a par value of $1,000?
12. A 22-year, semiannual coupon bond sells for $1,066.57. The bond has apar value of $1,000 and a yield to maturity of 6.78 percent. What is the bond's coupon rate?
13. The Lo Sun Corporation offers a 6.2 percent bond with a current market price of $774.50. The yield to maturity is 8.46 percent. The face value is $1,000. Interest is paid semiannually. How many years until this bond matures?
14.Navarro Incorporated, plans to issue new zero coupon bonds with a par value of $1,000 to fund a new project. The bonds will have a YTM of 5.31 percent and mature in 30 years. If we assume semiannual compounding, at what price will the bonds sell?
15. .A bond with a par value of $5,000 is quoted at 106.140. What is the dollar price of the bond?
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