Question
a) a corpoate bond has a 4 percent coupon rate and makes semiannual payments. if the quoted price of the bond is 1,100 and the
a) a corpoate bond has a 4 percent coupon rate and makes semiannual payments. if the quoted price of the bond is 1,100 and the bond matures in 8 years, what is the yield to maturity?
b) a bond has a quoted price of 745.20. It has a face value of 1,000, semi-annual interest payments of $40 and a maturity of 20 years. What is the yield to maturity -
c) a company has bonds outstanding 22 years to maturiy, a YTM of 7.8 percent and a current price of 918. The bond makes semiannual payments. What is the coupon rate? assume face value is 1,000
d) A bond with a coupon rate of 8 percent pays semi anunnual coupons matures in 12 years and has a YTM of 6 percent. Assume the bond has a face value of 1000 how much will the price of this bond decrease if the YTM increase 10 percent
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