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What is the yield to maturity of a bond with the following characteristics? $1350 price today; 7% coupon, paid semi-annually; 6 years to maturity: $1,000
What is the yield to maturity of a bond with the following characteristics? $1350 price today; 7% coupon, paid semi-annually; 6 years to maturity: $1,000 face value. Assume semi-annual interest compounding. Round your answer to 4 decimal places. For example if your answer is 3.205%, then please write down 0.0321. Question 3 2 F Calculate the clean (flat) price of a bond, assuming the following. Transaction settlement date is 2-15, 2018. Bond maturity date is 9-30, 2020. Par = $100. Coupon rate is 5%, and coupons are paid semi-annually. The bond is trading at a YTM of 7%. The day-count convention is 30/360. Assume semi-annual interest compounding. Round your answer to the nearest cent (2 decimal places). Question 4 2 As a winner of a local competition, you can choose one of the following prizes. If the annual interest rate is 12% compounded annually, which prize is the most valuable? O $110,000 now $15,000 now, and $15,000 per year starting next year for 10 years $18,000 per year starting next year for 10 years $170,000 at the end of 4 years What is the yield to maturity of a bond with the following characteristics? $1350 price today; 7% coupon, paid semi-annually; 6 years to maturity: $1,000 face value. Assume semi-annual interest compounding. Round your answer to 4 decimal places. For example if your answer is 3.205%, then please write down 0.0321. Question 3 2 F Calculate the clean (flat) price of a bond, assuming the following. Transaction settlement date is 2-15, 2018. Bond maturity date is 9-30, 2020. Par = $100. Coupon rate is 5%, and coupons are paid semi-annually. The bond is trading at a YTM of 7%. The day-count convention is 30/360. Assume semi-annual interest compounding. Round your answer to the nearest cent (2 decimal places). Question 4 2 As a winner of a local competition, you can choose one of the following prizes. If the annual interest rate is 12% compounded annually, which prize is the most valuable? O $110,000 now $15,000 now, and $15,000 per year starting next year for 10 years $18,000 per year starting next year for 10 years $170,000 at the end of 4 years
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