Sandhill Corp. has 18-year bonds outstanding. These bonds, which pay interest semiannually, have a coupon rate of 9.595 percent and a yield to maturity
Sandhill Corp. has 18-year bonds outstanding. These bonds, which pay interest semiannually, have a coupon rate of 9.595 percent and a yield to maturity of 9.5 percent. Assume face value is $1,000. Problem 8.30(a) Your answer is correct. Compute the current price of these bonds. (Round answer to 2 decimal places, eg. 15.25.) Current price A eTextbook and Media 1008.12 Attempts: unlimited Problem 8.30(b) If the bonds can be called in five years at a premium of 10.0 percent over par value, what is the investor's realized yield? (Round answer to 3 decimal places, eg. 15.255%) Realized yield 96 eTextbook and Media Save for Later Attempts: unlimited Submit Answer
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