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A bond with 30 years to maturity has a face value of $1,000. The bond pays a 5 percent semiannual coupon, and the bond has
A bond with 30 years to maturity has a face value of $1,000. The bond pays a 5 percent semiannual coupon, and the bond has a 7 percent nominal yield to maturity. What is the price of the bond today?
What is the correct sequence used to put into my calculator?
N= 60
I/Yr= 5%
PV= ?
PMT= 50
FV= -1000
30years*2= 60 n
coupon payment= 1000*0.05= 50/2=25
$25/0.07= $500 bond price??
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