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Table 1 Annual Coupon Years to Required Bond Par Value ($) Interest Rate (%) Maturity Return (%) NISHAT 250 12 8 9 SAPPHIRE 50 14
Table 1 Annual Coupon Years to Required Bond Par Value ($) Interest Rate (%) Maturity Return (%) NISHAT 250 12 8 9 SAPPHIRE 50 14 9 15 ROSHAN 100 19 12 22 NESTLE 150 8 5 8 You are required to see Tablel and answer the following questions:- i. ii. iii. iv. V. vi. vii. viii. ix. Calculate the current value of Bond issued by NISHAT. What will happen to the value price as NISHAT bond approaches maturity? Calculate the current value of Bond issued by SAPPHIRE. What will happen to the value price as SAPPHIRE bond approaches maturity? Calculate the current value of Bond SAPPHIRE if the time of maturity is 12 years. Calculate the current value of Bond ROSHAN. What will happen to value price as the bond ROSHAN approaches maturity? Calculate the current value of Bond NESTLE. What will happen to value price as the bond NESTLE approaches maturity? Calculate the current value of Bond NESTLE if the time of maturity is 12 years
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