erbrugge Company has a coupon bond outstanding that pays interest of $120 per year compounded semiannually and has 10 years to maturity. The face value of the bond is $1,000. If the yield on the bond is currently 14%, what is the bond's current market value? 1. 2. Neverwho Co. has 10 percent coupon bonds on the market with eight years left to maturity The bonds make annual payments. If the bond currently sells for $896.50, what is its YTM? 3. Oak Industries has 11 percent coupon bonds making semi-annual interest payments with a yield-to-maturity of 8.5%. The current yield on these bonds is 9.0671%. How many years do these bonds have left until they mature? Bond J is a 3 percent coupon bond. Bond S is a 12 percent coupon bond. Both bonds have 8 years to maturity, make semiannual payments, and have a YTM of 7 percent. If interest rates suddenly rise by 2 percent, what is the percentage price change of these bonds? 4. A corporate bond with a 5.5 percent coupon has 20 years left to maturity. It has had a credit rating of BBB and a yield to maturity of 4.8 percent. The firm has recently gotten into some trouble and the rating agency is downgrading the bonds to BB. The new appropriate discount rate will be 6.5 percent What will be the change in the bond's price in dollars and percentage terms? (Assume interest payments are semiannual.) 5. 6. TTK Corp, preferred stock pays a $10 annual dividend per share. What is the price of a share of TTK preferred if the preferred stock yields 8%? What is the price if the preferred stock yields 11%? LB English (United States)