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I need the answer for each questions A 10-year bond pays interest of $27.40 semiannually, has a face value of $1,000, and is selling for
I need the answer for each questions
A 10-year bond pays interest of $27.40 semiannually, has a face value of $1,000, and is selling for $796.26. What are its annual coupon rate and yield to maturity? The annual coupon rate is %. (Round to two decimal places). The yield to maturity is %. (Round to two decimal places). What is the price of a 6-year, 7.6% coupon rate, $1,000 face value bond that pays interest annually if the yield to maturity on similar bonds is 7%? The price of the bond is $ (Round to the nearest cent.) Iron Maiden became the first heavy-metal band to sell bonds when it arranged a $30 million deal in February 1999. The collateral on the bonds (and source of cash flow for interest and principal payments) consisted of future royalties from the band's albums like "The Number of the Beast." Each bond in the issue had a face value of $1,000, a term of 10 years and paid semiannual coupons at the rate of 6%. The yield to maturity on the bond was 8.25%. At what price did each of the bonds sell? The price of each of the bonds was $. (Round to the nearest cent.) Suppose you purchase a zero coupon bond with a face value of $1,000, maturing in 22 years, for $212.45. Zero coupon bonds pay the investor the face value on the maturity date. What is the implicit interest in the first year of the bond's life? The implicit interest in the first year of the bond's life is $. (Round to the nearest cent.) Cyberdyne Systems is issuing a series of zero coupon bonds to raise $500M to fund research and development at its Skynet division. Each bond will have a face value of $1,000 and will mature in 15 years. The yield on the bond is 2%. What is the fair price for one of Cyberdyne's zero coupon bonds? The fair price for one of Cyberdyne's zero coupon bonds is $. (Round to the nearest cent.) A Ford Motor Co. coupon bond has a coupon rate of 6.7%, and pays annual coupons. The next coupon is due tomorrow and the bond matures 22 years from tomorrow. The yield on the bond issue is 6.35%. At what price should this bond trade today, assuming a face value of $1,000? The price of the bond today should be $ (Round to the nearest cent.) What is the price of a 3-year, 7.6% coupon rate, $1,000 face value bond that pays interest quarterly if the yield to maturity on similar bonds is 12.4%? The price of the bond is 5 (Round to the nearest cent.) With celebrity bonds, celebrities raise money by issuing bonds to investors. The royalties from sales of the music are used to pay interest and principal on the bonds. In April of 2009, EMI announced that it intended to securitize its back catalogue with the help of the Bank of Scotland. The bond was issued with a coupon rate of 6.8% and will mature on this day 34 years from now. The yield on the bond issue is currently 6.3%. At what price should this bond trade today, assuming a face value of $1,000 and annual coupons? The price of the bond today should be $1(Round to the nearest cent.) What is the yield to maturity of a 9.2% semiannual coupon bond with a face value of $1,000 selling for $876.42 that matures in 11 years? The annual yield to maturity of the bond is: (Select the best choice below.) O A. 9.727% OB. 10.733% O c. 11.18% OD. 11.515% O E. 10.845% Man-zeer Inc., (a Kramer/Costanza joint venture) bonds are currently trading at $1,234.20. The bonds have a face value of $1,000, a coupon rate of 6% with coupons paid semiannually, and they mature in 20 years. What is the yield to maturity of the bonds? The yield to maturity of the bonds is%. (Round to two decimal places.) Iron Maiden became the first heavy-metal band to sell bonds when it arranged a $30 million deal in February 1999. The collateral on the bonds (and source of cash flow for interest and principal payments) consisted of future royalties from the band's albums like "The Number of the Beast." Each bond in the issue had a face value of $1,000, a term of 18 years and paid semiannual coupons at the rate of 5%. The yield to maturity on the bond was 5.75%. At what price did each of the bonds sell? The price of each of the bonds was $ (Round to the nearest cent.) Beam Inc. bonds are trading today for a price of $872.14. The bond pays annual coupons with a coupon rate of 5.5% and the next coupon is due in one year. The bond has a yield to maturity of 7.35%. How many years are there until the bond matures? The number of years until the bond matures is years. (Round to the nearest whole number.) Jerry just purchased a bond paying semiannual interest for a price of $1,000. Yields on bonds of similar risk are 9.1%. The bond has a face value of $1,000. Based on this information, the coupon rate of the bond is: (Select the best choice below.) O A. The coupon rate of the bond is 9.9% OB. The coupon rate of the bond is 8.8% O C. The coupon rate of the bond is 9.1%. OD. The coupon rate of the bond is 10.1% O E. We need the maturity of the bond to solve this problem. What is the percentage change in price for a zero coupon bond if the yield changes from 7.5% to 5.5%? The bond has a face value of $1,000 and it matures in 7 years. Use the price determined from the first yield, 7.5%, as the base in the percentage calculation. The percentage change in the bond price if the yield changes from 7.5% to 5.5% is %. (Round to two decimal places.) Beam Inc. bonds are trading today for a price of $804.23. The bond currently has 10 years until maturity and has a yield to maturity of 7.33%. The bond pays annual coupons and the next coupon is due in one year. What is the coupon rate of the bond? The coupon rate of the bond is %. (Round to one decimal place.)Step by Step Solution
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