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You own a ten-year bond with a par value of $1,000, issued by the ENGM 401 Company five years ago. The bond is from the
You own a ten-year bond with a par value of $1,000, issued by the "ENGM 401 Company" five years ago. The bond is from the 016 series. Interest is paid annually at the coupon rate of 8.75%. There are five coupons yet to be paid, starting a year from now (October 20, 2022). You want to sell this bond today. How much should you sell it for, if the market rate today is 7.301%? Note: Please enter your answer to two decimal places. If using the interest factor method, apply the value of the factor as presented in the table or spreadsheet (with all four decimal places)
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