Question
Q1-Suppose that a $1000 par value bond has 5 years left until maturity. it has a coupon rate of %6 that is paid in semi-annual
Q1-Suppose that a $1000 par value bond has 5 years left until maturity. it has a coupon rate of %6 that is paid in semi-annual interest payments , and securities of similar risk are discounted using a 4% interest rate , what is the intrinsic value of the bond??
Q2- Suppose that a $1000 par value bond has 4 years and 9 months left until maturity, it has coupon rate of 6% that is paid in semi-annual interest payments and it has a required rate of return equivalent to 8%. What is the intrinsic value of the bond?
Q3: Suppose that a $1000 par value bond has 22 years until maturity and a coupon rate of 5%, paid semi- annually. If the current bond price is $879, what is the yield-to-maturity (YTM) of the bond?
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