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I have been battling this homework for 2 days now and can't figure out these answers using Excel. Can you please help me figure out
I have been battling this homework for 2 days now and can't figure out these answers using Excel. Can you please help me figure out how to input this data into the correct Excel formulas? A great example would be:
PV
Rate: 5.00%
PMT: 71.56
FV: -1000
Questions are attached. Thank you for your help, its greatly appreciated!
Question 0 / 1 point 2 Bright Sun, Inc. sold an issue of 30-year $1,000 par value bonds to the public. The bonds had a 12.85 percent coupon rate and paid interest annually. It is now 14 years later. The current market rate of interest on the Bright Sun bonds is 10.56 percent. What is the current market price (intrinsic value) of the bonds? Round the answer to two decimal places. Answer: (1,173.34) Question 3 12 years ago, Delicious Mills, Inc. issued 30-year to maturity bonds that had a 7.91 percent annual coupon rate, paid semiannually. The bonds had a $1,000 face value. Since then, interest rates in general have changed and the yield to maturity on the Delicious Mills bonds is now 9.55 percent. Given this information, what is the price today for a Delicious Mills bond? Round the answer to two decimal places. Answer: (860.30) YTM after original issue 0 / 1 point on 4 on 1 0/1 point Dan is considering the purchase of Super Technology, Inc. bonds that were issued 6 years ago. When the bonds were originally sold they had a 24-year maturity and a 8.25 percent coupon interest rate, paid annually. The bond is currently selling for $883. Par value of the bond is $1,000. What is the yield to maturity on the bonds if you purchased the bond today? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box). Answer: (9.64) (%) 0 / 1 point Assume that today's date is February 15, 2015. Robin Hood Inc. bond is an annual-coupon bond. Par value of the bond is $1,000. How much you will pay for the bond if you purchased the bond today? The answer should be calculated to two decimal places Company Maturity Date Price Robin Hood 103.910 Coupon Rate 11.685 Current Yield YTM 2-15- 2020 - Rating - D Answer: (1,039.10) Question 2 0/1 point Assume that today's date is February 15, 2015. Robin Hood Inc. bond is an annual-coupon bond. Par value of the bond is $1,000. Calculate annual coupon interest payments. The answer should be calculated to two decimal places Company Maturity Date Price Robin Hood 101.550 Coupon Rate 9.952 Current Yield YTM 2-15- 2033 - Rating - D Answer: (99.52) Question 3 0/1 point Assume that today's date is February 15, 2015. Robin Hood Inc. bond is an annual-coupon bond. Par value of the bond is $1,000. Calculate the bond's current yield. Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box). Company Maturity Date Price Robin Hood 89.296 Coupon Rate 7.143 Current Yield YTM 2-15- 2036 - Rating ? D Answer: (8.00) (%) 0/1 point Question 4 Assume that today's date is April 15, 2015. Fresh Bakery Inc. bond is an annual-coupon bond. Par value of the bond is $5,000. How much you will pay for the bond if you purchased the bond today? The answer should be calculated to two decimal places Company Maturity Date Price Fresh Bakery 97.637 Coupon Rate 9.814 Current Yield YTM 04-15- 202 6 - Rating - AA Answer: (4,881.85) Question 5 0/1 point Assume that today's date is April 15, 2015. Fresh Bakery Inc. bond is an annual-coupon bond. Par value of the bond is $5,000. Calculate annual coupon interest payments. The answer should be calculated to two decimal places Company Maturity Date Price Fresh Bakery 118.229 Coupon Rate 8.564 Current Yield YTM 04-15- 202 0 - Rating - AA Answer: (428.20) Question 6 0/1 point Assume that today's date is April 15, 2015. Fresh Bakery Inc. bond is an annual-coupon bond. Par value of the bond is $5,000. Calculate the bond's current yield. Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box). Company Maturity Date Price Fresh Bakery 126.909 Answer: (5.21) (%) Coupon Rate 6.616 Current Yield YTM 04-15- 202 9 - Rating ? AAStep by Step Solution
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