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You find the following corporate bond quotes. To calculate the number of years until maturity, assume that it is currently January 15, 2019. The bonds
You find the following corporate bond quotes. To calculate the number of years until maturity, assume that it is currently January 15, 2019. The bonds have a par value of $2,000 and semiannual coupons.
Company | Coupon | Maturity | Last price | Last yield | EST $ Vol |
Xenon, Inc | 6,200 | Jan 15, 2031 | 94,263 | ? | 57,370 |
Kenny Corp | 7200 | Jan 15, 2030 | ? | 5.30 | 48,949 |
Wiliams Co. | ? | Jan 15, 2037 | 94,815 | 7.00 | 43,810 |
a) What price would you expect to pay for the Kenny Corp. bond?
b) What is the bonds current yield?
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