Question
Par Value of Bond(FV) = $ 1000 Coupon Rate on bond =5.5% pa = 5.5%/2 semi annually Semi Annual Coupon (PMT)= 5.5%/2 * 1000 =
Par Value of Bond(FV) = $ 1000 Coupon Rate on bond =5.5% pa = 5.5%/2 semi annually Semi Annual Coupon (PMT)= 5.5%/2 * 1000 = 27.5 YTM = 7.25% pa = (7.25/2) % semi annually nper = 25* 2 = 50 periods So Price of Bond = PV( rate,nper,pmt,fv) = $ 799. 31 How did we got this $799.31 please help
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Stock Investing
Authors: Brian Stclair
1st Edition
1539786358, 978-1539786351
