(Bond valuation) Pybus, Inc. is considering issuing bonds that will mature in 19 years with an annual coupon rate of 11 percent. Their par value will be $1,000 and the interest will be paid semiannually. Pybus is hoping to get a AA rating on its bonds and, if it does, the yield to maturity on similar AA bonds is 9.5 percent. However, Pybus is not sure whether the new bonds will receive a AA rating. If they receive an A rating, the yield to maturity on similar A bonds is 10.5 percent. What will be the price of these bonds if they receive either an A or a AA rating? a. The price of the Pybus bonds if they receive a AA rating will be $ ______. (Round to the nearest cent.)

(Bond valuation)Fingen's15-year,$1,000 par value bonds pay12 percent interest annually. The market price of the bonds is $1,050 and the market's required yield to maturity on acomparable-risk bond is 13 percent.

a.Compute the bond's yield to maturity.

b.Determine the value of the bond to you, given your required rate of return.

c.Should you purchase the bond?

a.What is your yield to maturity on the Fingen bonds given the market price of the bonds? _____% (Round to two decimal places.)

(Bon valuation)The 15-year $1,000 par bonds of Vail Inc. pay 12 percent interest. The market's required yield to maturity on a comparable-risk bond is 9 percent. The current market price for the bond is $1,130.

a. Determine the yield to maturity.

b. What is the value of the bonds to you given the yield to maturity on a comparable-risk bond?

c Should you purchase the bond at the current market price?

a. What is your yield to maturity on the Vail bonds given the current market price of the bonds?______% (Round to two decimal places.)