One of IBM's bond issues has an annual coupon rate of 3.5%, a face value of $1,000 and matures in 12 years.

Attempt 1/10 for 10 pts.

Part 1

What is the value (or price) of the bond if the required return is 5%?

Part 2

What is the value of the bond if the required return is 6%?

A bond has an annual coupon rate of 3.9%, a face value of $1,000, a price of $1,033.27, and matures in 10 years.

Attempt 1/10 for 10 pts.

Part 1

What is the bond's YTM?

A corporate bond has 18 years to maturity, a face value of $1,000, a coupon rate of 5% and pays interest twice a year. The annual market interest rate for similar bonds is 3%.

Attempt 1/10 for 10 pts.

Part 1

What is the price of the bond (in $)?