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QUESTION 51 A bond with an 8 percent annual coupon rate and par value of $1,000 bond matures in 10 years, and pays interest semi-annually.
QUESTION 51 A bond with an 8 percent annual coupon rate and par value of $1,000 bond matures in 10 years, and pays interest semi-annually. What is the coupon interest payment? O a $20 every six months O b. $40 every six months O c $80 every six months O d.$100 every six months . QUESTION 52 A bond pays a coupon of $50 semi-annually. The bond has a par value of $1,000. What is the annual coupon rate of the bond? a. 2.596 Ob. 596 O c. 109 O d. 50% QUESTION 53 A bond has a $45 semi-annual coupon interest payment that is currently selling for $937.50. What is the current yield of the bond? a. 4.596 b. 4.8% O 996 d. 9.6% QUESTION 54 When a bond's yield to maturity is equal to the bond's coupon rate, the bond is referred to as a: a discount bond. O b. premium bond. O par value bond. O d. zero-coupon bond. QUESTION 55 What is the nick name given to highly speculative and risky bonds ? O a. Junk bonds O b. Corpus Bonds. Oo. Falling bonds. O d. Putable bonds
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