Question
-A trade on a bond with a 3% semi-annual coupon rate settles on Feb 7, 2022. The bond matures Nov 01, 2032. The last coupon
-A trade on a bond with a 3% semi-annual coupon rate settles on Feb 7, 2022. The bond matures Nov 01, 2032. The last coupon payment date is Nov 01, 2021. The next coupon payment date is May 01, 2022. What is the accrued interest on the bond if the day count follows the 30/360 convention? Assume a par value of 100.00.
-Suppose that a 3-year bond with an annual coupon of 4.35% has a price of 100.971 percent of par. An investor faces a tax rate of 28%. What is the after-tax yield on the bond?
-A 2-year bond bearing a semi-annual coupon of 2.15% has a price of 97.25% of par. What is the bond-equivalent yield (BEY) on the bond?
-An 8-year bond with a 2.50% semi-annual coupon has the following price quotes from a dealer.Bid Yield: 1.25% and Asked Yield: 1.20%. What price does an investor pay for the bond? (Answer is in percent of par.)
-What is the fair value (PV) of a 7-year bond with an annual coupon of 5.50% priced at a yield of 5.00%?
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