Homework assignment #11 is taken from your in-class bond price handout, as follows #1 Locate the listing for the FEDEX CORP bond with a 49% coupon rate and a maturity of 1/15/2034 The bond symbol is FDX4087157 A draw a time line showing all remaining cash flows (coupon and par) for this bond Assume semiannual payments and a par value of $1,000 B calculate the value of this bond based on a required rate of retum of 4 40% per year C. calculate the annual yield-to-maturity of this bond using the price listed in the handout D. based on your answers to C and D should you invest in the bond? Why or why not? #2 Locate the listing for the WALMART INC bond with a 4 75% coupon rate and a maturity of 10/2/2043 The bond symbol is WMT4055720 A draw a time line showing all remaining cash flows for this bond. Assume semiannual payments and a par value of $1,000 B calculate the value of the bond based on a required rate of return of 5 20% per year C calculate annual yield-to-maturity of this band using the price listed in the handout D. based on your answers to C and D should you invest in the bond? Why or why not? ASSIGNMENT SUBMISSION Text Submission Write Submission Finra-markets.morningstar.com/BondCenter Lantal Pic Yield or LOTT COM Mods 700 1192 1000 LAMA Al 500 1121 US A 16 AP MA 40 AD 5.000 TA 13731 123.30 13.30 12 25 TIF 212 2004 TIF 20 CHODONO VY Syntol Cable Product Type O WALMARTIN WE OF Drone MTG wito Cow REN w www.Bond DWMN WUTAR rond WUTIC Con w CBN BALMASENG w M TAMALLING WNLO wwww WTAB Coro @ANG Wam Yes CowBow WERNET Ver Go W Op www Vee w w DRE ALTING WUTISET www w Bond WMNE Ver DAN w 300 04 T 2014 MA OVI WT DOM V 10023 A NO ST CLE . COM As W NE AR 10 19 04 AL COST 1.400 Aas AN 10 % per gear Loe Coco My su BOSCH ULO TET 11 1.125 124 12 1780 M 3 ne 124254 120 OLO 11 334 323 11001 TUT 3306 300 Dy paatistine PARIS FO Cant FOST The C Yes BLOGROUP FO Copew an FOR0114 Cond 0011 Corper BORDE FOK Cone RE PIC290 TH Corporate EXCORE Coro BLOG FOXEN B PEDER FOX3041 Yes CowBow FOK454 Yee Coro EXE PORNO Cand F Cond BLOG FDE Carbon DECADE 202 Corpo Bond ECCO FORW CowBond FOX Yes Cep Bond W OSZE OVI Bas 2005 4100015 400 V 060043 15 Baal DO 4 DAD 0 3400 no Bas 400 152048 400 GO 040 022 bal 2000 Bus 5210 D D IND 360 ORT 360 1143 12111337 107 350 26 14 361 190 Homework assignment #11 is taken from your in-class bond price handout, as follows #1 Locate the listing for the FEDEX CORP bond with a 49% coupon rate and a maturity of 1/15/2034 The bond symbol is FDX4087157 A draw a time line showing all remaining cash flows (coupon and par) for this bond Assume semiannual payments and a par value of $1,000 B calculate the value of this bond based on a required rate of retum of 4 40% per year C. calculate the annual yield-to-maturity of this bond using the price listed in the handout D. based on your answers to C and D should you invest in the bond? Why or why not? #2 Locate the listing for the WALMART INC bond with a 4 75% coupon rate and a maturity of 10/2/2043 The bond symbol is WMT4055720 A draw a time line showing all remaining cash flows for this bond. Assume semiannual payments and a par value of $1,000 B calculate the value of the bond based on a required rate of return of 5 20% per year C calculate annual yield-to-maturity of this band using the price listed in the handout D. based on your answers to C and D should you invest in the bond? Why or why not? ASSIGNMENT SUBMISSION Text Submission Write Submission Finra-markets.morningstar.com/BondCenter Lantal Pic Yield or LOTT COM Mods 700 1192 1000 LAMA Al 500 1121 US A 16 AP MA 40 AD 5.000 TA 13731 123.30 13.30 12 25 TIF 212 2004 TIF 20 CHODONO VY Syntol Cable Product Type O WALMARTIN WE OF Drone MTG wito Cow REN w www.Bond DWMN WUTAR rond WUTIC Con w CBN BALMASENG w M TAMALLING WNLO wwww WTAB Coro @ANG Wam Yes CowBow WERNET Ver Go W Op www Vee w w DRE ALTING WUTISET www w Bond WMNE Ver DAN w 300 04 T 2014 MA OVI WT DOM V 10023 A NO ST CLE . COM As W NE AR 10 19 04 AL COST 1.400 Aas AN 10 % per gear Loe Coco My su BOSCH ULO TET 11 1.125 124 12 1780 M 3 ne 124254 120 OLO 11 334 323 11001 TUT 3306 300 Dy paatistine PARIS FO Cant FOST The C Yes BLOGROUP FO Copew an FOR0114 Cond 0011 Corper BORDE FOK Cone RE PIC290 TH Corporate EXCORE Coro BLOG FOXEN B PEDER FOX3041 Yes CowBow FOK454 Yee Coro EXE PORNO Cand F Cond BLOG FDE Carbon DECADE 202 Corpo Bond ECCO FORW CowBond FOX Yes Cep Bond W OSZE OVI Bas 2005 4100015 400 V 060043 15 Baal DO 4 DAD 0 3400 no Bas 400 152048 400 GO 040 022 bal 2000 Bus 5210 D D IND 360 ORT 360 1143 12111337 107 350 26 14 361 190
