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Barrys Steroids Company has $1,000 par value bonds outstanding at 15 percent interest. The bonds will mature in 30 years. If the percent yield to
Barrys Steroids Company has $1,000 par value bonds outstanding at 15 percent interest. The bonds will mature in 30 years. If the percent yield to maturity is 13 percent, what percent of the total bond value does the repayment of principal represent? Assume interest payments are annual. Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods. Principal as a percentage of bond price? 13 % at 30 years .026 appendix B 13% at 30 years 7.496 appendix D
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