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Problem 11: Micron issues a 9% coupon bond with a maturity of 5 years and monthly interest payments. The face value of the bond, payable
| Problem 11: Micron issues a 9% coupon bond with a maturity of 5 years and monthly interest payments. The face value of the bond, payable at maturity, is $1000. What is the value of this bond if your required rate of return is 12% | Problem 12: What is the YTM of a bond that has a current price of $1128, coupon rate of 7.3%, $1000 par value, interest paid semi-annually, and nine years to maturity? | |||||||
| NPER | 60 | NPER | 9 | |||||
| RATE (Coupon) | 9.00% | RATE (Coupon) | 7.30% | |||||
| PV (Coupon Price) | 90 | PV (Coupon Price) | 1,000 | |||||
| PMT | 8 | PMT | 73 | |||||
| RATE (Market Rate) | 12% | RATE (Market Rate) | ? | |||||
| PV (Market Price) | ? | PV (Market Price) | 1,128 | |||||
| FV | 1,000 | FV | 1,000 | |||||
| Compounding Periods | 60 | Compounding Periods | 2 | |||||
| Compute ? | -$1,000.00 | Compute ? | -5.48% | |||||
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Fundamentals Of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
5th Edition
0135811600, 978-0135811603
