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(5 points) (Exercise 6.24) A $1000 par value bond has 7% semiannual coupons and is callable at the end of the 14th through the 22th
(5 points) (Exercise 6.24) A $1000 par value bond has 7% semiannual coupons and is callable at the end of the 14th through the 22th years at par. a) Find the price to yield 5% convertible semiannually. ANSWER = $ b) Find the price to yield 12% convertible semiannually. ANSWER = $ c) If the bond in (b) is actually called at the end of 14 years, find the yield rate. ANSWER = %. d) If the bond is putable rather than callable, rework (a). ANSWER = $ e) If the bond is putable rather than callable, rework (b). ANSWER = $ (5 points) (Exercise 6.24) A $1000 par value bond has 7% semiannual coupons and is callable at the end of the 14th through the 22th years at par. a) Find the price to yield 5% convertible semiannually. ANSWER = $ b) Find the price to yield 12% convertible semiannually. ANSWER = $ c) If the bond in (b) is actually called at the end of 14 years, find the yield rate. ANSWER = %. d) If the bond is putable rather than callable, rework (a). ANSWER = $ e) If the bond is putable rather than callable, rework (b). ANSWER = $
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