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Hana is considering investing in either two outstanding bonds. Bond A pays interest annually and bond B pays interest semiannually. The current selling price

 

Hana is considering investing in either two outstanding bonds. Bond A pays interest annually and bond B pays interest semiannually. The current selling price for bond A is RM1,100 and bond B is RM915, respectively. Par value of both bonds are RM1,000. The information is shown in the following table: Coupon interest 14% 8% Bond A B Based on information above: i. Period 20 15 Interest rate 12% 10% Calculate the bond price and Yield to Maturity (YTM) for both bonds.

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