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Working in the Treasury group at your Investment bank you have been assigned to evaluate bonds your company holds for customers. One particular bond you

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Working in the Treasury group at your Investment bank you have been assigned to evaluate bonds your company holds for customers. One particular bond you are looking at had an original maturity of 16 years, but was issued one year ago. It has a coupon rate of 6.2% The bonds make semiannual coupon payments. The face amount of the bonds is $1,000.00. Assume the YTM for these bonds is 5.4% a. What is the current dollar price? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g. 12.34.) . Current bond price b. What formula did you use to calculate part a? (Write the number of the formula you used from the Formula Sheet) b. Formula number c. What value did you use for the interest rate in your calculation? (Write the answer as a percentage rounded to 2 decimal places, e.g., 12.34%.) d. What value did you use for the number of coupons in your calculation? (Write the answer as a whole number with no decimal places, e.g. 16.) e. What value did you use for the dollar amount of each coupon in your calculation? (Write the answer as a dollar amount rounded to 2 decimal places, e.g., 12.34.) c. What is the interest rate? d. What is the number of payments? e. What is the coupon amount? O Dy-Annual Dividend 094 = New Puce-old puce diet +Benchene conto x EPS + Price old Price huice, Benchmark Vs uatro x Sharesshareg OPEL (1 +R)= (1+)El th) DP R =D+ Pt = D(t+1) cy - Annual coupon EPSE TR-9) R= Deel 9 O PE - Price/shore EPS, - DEB -C[e) - Copa EPS : EARNING CLEVENUE -C087) ( NEW Peilt-OLD PRICE CYG Price PE EPS DPRO NUMBER OF SHARES OUTSTANDING BOY PRICE

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