Suppose a board with a face value of 100 has 2 yrs left to maturity and offers a coupon of 6 paid semi annually starting 6 months from today If the yield to maturity is quoted as 8 , what is its market price ...

Calculation of present value of the bond Present value of the Bond ...

Suppose a board with a face value of 100 has 2 yrs left to maturity and offers

Question:

Suppose a board with a of £100 has 2 yrs left to and offers a of 6% paid semi annually starting 6 months from today. If the yield to is quoted as 8%, what is its market price?

Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a... Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the... Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...