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Wilfred pc issued a bond with par value of $1,000 on January 15th 2015, redeemable in January 15th 2045. The annual coupon rate is 8%
Wilfred pc issued a bond with par value of $1,000 on January 15th 2015, redeemable in January 15th 2045. The annual coupon rate is 8% payable semiannually on January 15th and June 15th each year. What is the price investors will pay for this bond on January 15th 2030 (right after the coupon payment in that month and six months exactly before the next one) if the prevailing market interest rate on that day is 9% per annum?
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