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Problem 7-7 (similar to) Question Help 0 Consider two bonds, Bond C and Bond D, both with a yield to maturity of 11.8 percent and
Problem 7-7 (similar to) Question Help 0 Consider two bonds, Bond C and Bond D, both with a yield to maturity of 11.8 percent and with 6 years to maturity. These are standard bonds with semi-annual coupon payments. Bond C has a coupon rate of 11.8 percent (with semi-annual coupon payments) while Bond D does not pay any coupons (i.e., it is a zero-coupon bond). What is the price of each bond? The price of Bond C is $ (Round to the nearest cent.) Problem 7-6 (similar to) Question Help 0 Consider two bonds, Bond A and Bond B, both with a coupon rate of 8.2 percent and a yield to maturity of 6.7 percent. These are standard bonds with semi-annual coupon payments. Bond A matures in 4 years while Bond B matures in 10 years. What is the price of each bond? The price of Bond A is $ (Round to the nearest cent.) Problem 7-2 (similar to) Question Help Calculate the present value (PV) of an annuity stream of five annual cash flows of $1,270, with the first cash flow received in one year, assuming a discount rate of 9.9 percent. The present value of the annuity is $ (Round to the nearest cent.)
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