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If the annual coupon payments are $85 and the face value of a bond is $1,000, what is its coupon rate? If the annual coupon
- If the annual coupon payments are $85 and the face value of a bond is $1,000, what is its coupon rate?
- If the annual coupon payment of a bond is $100 with a face value of $1000, what is its coupon rate?
- A bond has a $1,000 face value and provides a 10% annual coupon for 15 years. The appropriate discount rate is 8%. What is the value of the bond?
- A bond has a $1,000 face value and provides a 12% annual coupon (coupon paid semiannually) for 10 years. The appropriate discount rate is 10%. What is the value of the bond?
- Suppose a bond was issued on January 1, 2010 for 20 years. The bond pays 8% coupon compounded annually. What is the value of the bond on January 1, 2020 if market interest rate is 11%? What would be the price of the bond on January 1, 2025 if interest rate drops to 7%?
- A perpetual bond has a $1,000 face value and provides a 12% annual coupon. If the appropriate discount rate is 10%. What is the value of the coupon bond?
- A zero-coupon bond issued by Oman Investment has a face value $1,000 and matures in 15 years. The appropriate discount rate is 8%. What is the value of the coupon bond?
- Suppose you have purchased a bond issued by Oman International for OMR 1250. The bond has a face value OMR1000 and pays 9% coupon. The sold the bond after 1 year for OMR 1220. Calculate the current yield, capital gain yield, and the total yield.
- Suppose a bond with face value OMR 1000 was issued for 20 years. The bond is currently selling for OMR 1130. If the bond pays 10% coupon compounded annually, what is the YTM of the bond?
- Assume another bond which is issued for 15 years pays 8% coupon compounded annually and has face value OMR 1000. The bond is currently selling in the market for Tk 850. What is the YTM of the bond?
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1 If the annual coupon payments are 85 and the face value of a bond is 1000 the coupon rate can be calculated by dividing the annual coupon payment by the face value and multiplying by 100 Coupon Rate ...Get Instant Access to Expert-Tailored Solutions
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