A $1,000 par value bond was issued 25 years ago at a 12 percent coupon rate. It currently has 15 years remaining to maturity Interest rates on similar obligations are now 10 percent. Assume Ms. Bright bought the bond three years ago when it had a price of $1.080 Further assume Ms. Bright paid 30 percent of the purchase price in cash and borrowed the rest known as buying on margin). She used the interest payments from the bond to cover the interest costs on the loan a. What is the current price of the bond? Use Table 16.2. (Input your answer to 2 decimal places.) Price of the bond b. What is her dollar profit based on the bond's current price? (Do not round Intermediate calculations and round your answer to 2 decimal places.) Dollar profit c. How much of the purchase price of $1080 did Ms. Bright pay in cash? (Do not round intermediate calculations and round your answer to 2 decimal places.) Purchase price paid in cash d. What is Ms. Bright's percentage return on her cash investment? Divide the answer to part b by the answer to partc (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.) Percentage return % A $1.000 par value bond was issued five years ago at a 6 percent coupon rate. It currently has 8 years remaining to maturity. Interest rates on similar debt obligations are now 8 percent Use Appendix Band Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods a. Compute the current price of the bond using an assumption of semiannual payments. (Do not round intermediate calculations and round your answer to 2 decimal places.) Current bond price b. If Mr. Robinson initially bought the bond at par value, what is his percentage capital gain or loss? (Ignore any interest income received. Do not round intermediate calculations and input the amount as a positive percent rounded to 2 decimal places.) Percentage % c. Now assume Mrs. Pinson buys the bond at its current market value and holds it to maturity, what will be her percentage capital gain or loss? (Ignore any interest income received. Do not round Intermediate calculations and input the amount as a positive percent rounded to 2 decimal places.) Percentage A $1,000 par value bond was issued 25 years ago at a 12 percent coupon rate. It currently has 15 years remaining to maturity Interest rates on similar obligations are now 10 percent. Assume Ms. Bright bought the bond three years ago when it had a price of $1.080 Further assume Ms. Bright paid 30 percent of the purchase price in cash and borrowed the rest known as buying on margin). She used the interest payments from the bond to cover the interest costs on the loan a. What is the current price of the bond? Use Table 16.2. (Input your answer to 2 decimal places.) Price of the bond b. What is her dollar profit based on the bond's current price? (Do not round Intermediate calculations and round your answer to 2 decimal places.) Dollar profit c. How much of the purchase price of $1080 did Ms. Bright pay in cash? (Do not round intermediate calculations and round your answer to 2 decimal places.) Purchase price paid in cash d. What is Ms. Bright's percentage return on her cash investment? Divide the answer to part b by the answer to partc (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.) Percentage return % A $1.000 par value bond was issued five years ago at a 6 percent coupon rate. It currently has 8 years remaining to maturity. Interest rates on similar debt obligations are now 8 percent Use Appendix Band Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods a. Compute the current price of the bond using an assumption of semiannual payments. (Do not round intermediate calculations and round your answer to 2 decimal places.) Current bond price b. If Mr. Robinson initially bought the bond at par value, what is his percentage capital gain or loss? (Ignore any interest income received. Do not round intermediate calculations and input the amount as a positive percent rounded to 2 decimal places.) Percentage % c. Now assume Mrs. Pinson buys the bond at its current market value and holds it to maturity, what will be her percentage capital gain or loss? (Ignore any interest income received. Do not round Intermediate calculations and input the amount as a positive percent rounded to 2 decimal places.) Percentage