(that is, 110 days since the Feb. 15 coupon). What is its flat price (or clean price) per $ 100 of par value on June 5, 2020 if its yield to maturity is 4.6% ? Carry intermediate calcs. to four decimals. Answer to two decimals.
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- On January 1, 2018, Wawatosa Inc. issued 5-year bonds with a face value of $200,000 and a stated interest rate of 12% payable semi-annually on July 1 and January 1. The bonds were sold to yield 10%. Assuming the bonds were sold at 107.732, what is the selling price of the bonds? Were they issued at a discount or a premium?Smashing Cantaloupes Inc. issued 5-year bonds with a par value of $35,000 and an 8% semiannual coupon (payable June 30 and December 31) on January 1, 2018, when the market rate of interest was 10%. Were the bonds issued at a discount or premium? Assuming the bonds sold at 92.288, what was the sales price of the bonds?A 4.35% coupon bond is priced at 99.68. The last semi-annual coupon payment was made on June 3, 2019. The next coupon will be paid on December 1, 2019. What is the invoice price on July 6, 2019? a) $1014.58 b) $1003.97 c) $1018.55 d) $1000.77
- A bond is issued on June 3, 2020. Maturity date is June 3, 2023. First semi-annual coupon payment is on December 3, 2020. The interest rate (per annum) is 0.4%. The face value is $1,000,000 (in thousands). The price of the bond is 998.60 (per $1000). 1) Determine the amount of each coupon payment per $1,000 of face value and the total number of coupon payments. 2) Calculate the yield to maturity. 3) Calculate the new price per $1,000 of face value if the yield to maturity increased by one percentage point (e.g., from 1.5% to 2.5%) immediately after issuance. Also calculate the percentage price change.On March 13, 2030, you purchase a $1000 par value corporate bond that has a 12% and makes semiannual payments. The bond last paid a coupon on February 15, 2030 and is due to pay its next coupon on August 15, 2030. Assume that the bond’s day-count convention is the standard one for corporate bonds and note that 2030 is not a leap year. What is the accrued interest on this bond?A $10,000 bond pays semi-annual coupons at j2 10% every January 5 and July 5. It is purchased on February 5, 2021 to yield j2 = 11%. The full (or dirty) price of the bond on February 5, 2021 is $9578.38. Using the method that is most commonly used in practice, what would be the price of the bond on the coupon date, January 5, 2021? A. $9498.67 O B. $9493.29 C. $9490.95 OD. $9488.99 Reset Selection
- 7. Suppose a bond is purchased with a settlement date of October 15 and the next coupon payment is on December 1. The par amount purchased on the bond is $100,000, and its annual coupon rate is 4% paid semiannually. (1) What is the accrued interest using the 30/360-day count convention? (2) What is the accrued interest using the actual/actual day count convention?A bank has issued a bond on April 1st 2020 which pays coupons at a rate of 3% of the nominal value twice a year in arrears. Coupon payments are due on 1st April and Ist October and the bond is redeemable at 110% of nominal on Ist September 2030. (a) An investor purchases the bond on 1st March 2021. Show that the price of the bond is approximately £76 per £100 nominal assuming a gross redemption yield of 7%. (b) The investor pays income tax at 40%. In addition, assume that the inflation rate is constant at 1.5%. Calculate the investor's net real rate of return assuming she holds the bond until maturity. State any approximations made.A $1,000.00, 8.0% Semi-Annual Bond matures on October 1, 2036. The Bond may be called at 102.5 on April 1, 2030. Round ALL final answers to the nearest penny (cent), NO dollar signs, USE commas where needed What is the Value of the bond on April 1, 2024, when the market rate is 7.0% if: The bond is held to maturity and redeemed at par? The bond is called on April 1, 2030 and redeemed at the call value?
- It is 22 November 2017. Treasury 8% 2020 matures on 21 November 2020. Calculate the fairprice of this bond when the redemption yield is:(i) 5% pa(ii) (ii) 8% paAssume that today is November 15, 2016 and there are exactly 4 six-month time periods remaining until maturity for a 30-year US Treasury bond that was originally issued on November 15, 1988. The bond matures on November 15, 2018. The bond’s coupon is 8.50%. Coupons are paid semi-annually. The yield to maturity is 0.67%. The bond’s principal is $1,000. Using the PVA formula, what is the current price of the bond? Begin with the general formula. Show all your work. Is the bond priced at a premium, discount, or at par? And, why? ExplainA 10% semi-annual corporate bond is priced for settlement on September 21, 2021. The bond was issued on April 28, 2016, and will mature on April 28, 2022. The stated yield-to-maturity is 8%. Calculate the full price, accrued interest and flat price assuming a day convention of 30/360 and a par value of $100. Show your work.