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Please Answer ALL Seven Parts. The answer is given at the end. Please show all steps. PLEASE do not just answer the 1st one. Answer

Please Answer ALL Seven Parts. The answer is given at the end. Please show all steps. PLEASE do not just answer the 1st one. Answer all w/ steps. Thank you! image text in transcribed
1. UM bonds pay an annual coupon rate of 10%. They have 8 years before maturity. The maturity value is $1,000. The yield to maturity (market interest rate) on this class of bonds is 10%. Determine the price of these bonds. [\$1,000] 2. What is the value of a government bond that pays semiannual payments of $50 (coupon rate of 10% ) and has a maturity value of $1,000 if the annual market interest rate is 12% and the bond has 20 years until maturity? [\$ 849.53] 3 The Banzai Auto Company has experienced a market re-evaluation lately due to a number of lawsuits. The firm has a bond issue outstanding with 15 years to maturity and a coupon rate of 8% (paid semiannually). The required rate has now risen to 12.25%. At what price can these securities be purchased on the market? [\$ 711.37] 4. Liddy Corporation has bonds that pay an annual coupon rate of 8% and a maturity value of $1,000. The yield on comparable new bonds is 9.5%. The bonds have 7 years before they mature. Determine the value of one of Liddy's bonds. [\$925.76] 5. Hamblin Inc. has bonds that pay a coupon rate of 11% and a maturity value of $1,000. The yield in the market for this risk class of bonds is 10.5%. The bonds have 18 years before maturity. How much would one Hamblin bond be worth in the market? [\$1,039.73] 6. Adeline Corporation just issued a zero coupon bond with a life of 15 years. The face value of these bonds is $100,000 and the market rate is 9.6%. What would be the price of these bonds? {25,283.76] 7. You are the owner of 100 bonds issued by Georgia Corporation. These bonds have 8 years remaining to maturity, an annual coupon payment of $80, and a par value of $1,000. Unfortunately, Georgia Corp. is on the brink of bankruptcy, and the creditors, including yourself, have agreed to a postponement of the next 4 interest payments. The remaining interest payments will be made as scheduled. The postponed payments will accrue interest at an annual rate of 6% and will be paid as a lump sum at maturity 8 years hence. The required rate of return on these bonds, considering their substantial risk, is now 28%. What is the present value of each bond? [\$266.88]

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