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Bond 1 Bond 2 Bond 3 Settlement Date 3/15/2012 9/1/2012 7/15/2012 Maturity Date 1/15/2022 7/1/2032 9/15/2042 Frequency 4 2 2 Face Value $1,000 $1,000 $1,000
| Bond 1 | Bond 2 | Bond 3 |
Settlement Date | 3/15/2012 | 9/1/2012 | 7/15/2012 |
Maturity Date | 1/15/2022 | 7/1/2032 | 9/15/2042 |
Frequency | 4 | 2 | 2 |
Face Value | $1,000 | $1,000 | $1,000 |
Coupon Rate | 7.00% | 9% | 12% |
Required Return | 9.00% | 12% | 14% |
Given Price | $900 | $1100 | $1000 |
- Find the price of these bonds
- Determine the yield to call on these bonds if the time to first call and the call premium for each one of them are the following:
| Bond A | Bond B | Bond C |
Call Premium % | 2.00% | 3.00% | 4.00% |
Call Date | 7/15/2015 | 9/1/2017 | 1/15/2016 |
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