Problem 13-3 Seminannual Coupon

Consider a 5% semiannual coupon bond with a maturity of 10 years and a face value of $2,000.

FV	$2,000.00
Coupon	$100.00
n	10
i	7%

If the current YTM was 7 percent, what is the price of the bond?

The price of the bond would be $ . Round your answer to the nearest two decimal places.

Problem 13-5 Split Coupon

Consider a split coupon bond with a face value of $1,000 that pays $0 in interest during the first 10 years. The bond then pays $200 annually for the next 10 years and matures after 20 years.

FV	$1,000.00
Coupon	$200.00
n	10
i	9%

How much would an investor pay for this bond if the required return were 9%?

An investor would pay $ for the bond. Round your answer to the nearest two decimal places.