You find the following Treasury bond quotes. To calculate the number of years until maturity, assume that it is currently May 2022. All of
You find the following Treasury bond quotes. To calculate the number of years until maturity, assume that it is currently May 2022. All of the bonds have a par value of $1,000 and pay semiannual coupons. Rate ?? 6.102 6.148 Maturity Month/Year May 33 May 38 May 48 a. Asked price b. Bid price Bid 103.5301 Asked 103.5423 104.4913 104.6370 ?? ?? Change +.3261 +.4257 +.5366 Ask Yield 5.939 ?? 3.971 a. In the above table, find the Treasury bond that matures in May 2048. What is the asked price of this bond in dollars? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. b. If the bid-ask spread for this bond is .0644, what is the bid price in dollars? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.
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