Question
Locate the Treasury bond in Figure 8.4 maturing in August 2045. Assume a par value of $20,000. Is this a premium or a discount bond?
Locate the Treasury bond in Figure 8.4 maturing in August 2045. Assume a par value of $20,000. Is this a premium or a discount bond? multiple choice Discount bond Premium bond What is its current yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) What is its yield to maturity? (Do not round intermediate calculations. Enter your answer as a percent rounded to 3 decimal places, e.g., 32.161.) What is the bid-ask spread in dollars? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.)
| Is this a premium or a discount bond? |
| multiple choice Discount bond Premium bond |
| What is its current yield? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) |
| What is its yield to maturity? (Do not round intermediate calculations. Enter your answer as a percent rounded to 3 decimal places, e.g., 32.161.) |
| What is the bid-ask spread in dollars? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.) |
Figure 8.4 Sample Wall Street Journal U.S. Treasury Bond Prices
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Quantitative Finance: An Object-Oriented Approach In C++
Authors: Erik Schlogl, Dilip B. Madan
1st Edition
1584884797, 978-1584884798
