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There are 2 questions below: a. PT BonBon issued bond with par value IDR 1,000, 10 years, 5% annual coupon. Market interest rate is 7%.
There are 2 questions below:
a. PT BonBon issued bond with par value IDR 1,000, 10 years, 5% annual coupon. Market interest rate is 7%. Is it premium, par, or discount? What is the selling price for the bond?
b. True or False Cateris paribus, the lower the bond coupon, the higher volatility
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