What is the market price of a 12 p a semi annual coupon bond with a face value of $100, ten years to go until maturity when the current market yield is 10 p a compounded semi annually 112 29 112 46 106 55 100 00 None of the above ...

The correct option is b 11246 Years cash flow DF PV 1 6 09524 571 2 6 09070 544 3 ...

What is the market price of a 12% p.a. semi-annual coupon bond with a face value of

Question:

What is the market price of a 12% p.a. semi-annual bond with a of $100, ten years to go until when the current market yield is 10% p.a. compounded semi-annually?
112.29
112.46
106.55
100.00
None of the above
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...