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You have been hired as a bond analyst at Black Rock Fund, you have the following four coupon paying bonds (face Value=$1000). Answer the questions
You have been hired as a bond analyst at Black Rock Fund, you have the following four coupon paying bonds (face Value=$1000). Answer the questions below: =2 Band YTM Coupon Rate Years to Maturity 1 9. 8% 5 7 10 S. 9 5 10% 9 15 1. What is the value of each of the four bonds? 2. Which of these bonds sells at a discount? 3. Which of these bonds sells at a premium? 4. Which of these bonds sells at a par? 5. Which of these bonds sells at a discount? 6. Which bond's price would be most sensitive to this change in YTM, if it is increased by 2%
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