-12. A zero coupon bond with a face value of $1,000 matures in 15 years. The bond has a yield to maturity of 7 percent. If an investor buys the bond at the beginning of the year, how much money in taxes will the investor have to pay on the zero coupon

7. Liability payments of 200,000 each are due in 3 and 5 years from now. You can buy A of a 1-year zero coupon bond and B of a five-year zero coupon bond, both at a yield of 4%. Find A and B if the bond cash-flow is to immunize the liability cash-flow. Answer: A - 92, 456, B- 308, 160

A. you are offered to buy a 4 year coupon bond in the beginning of its 7th month on its third year for $963.94. its face value is $1,000 and its coupon rate is 5.172% per annum, with coupon paid at the end of each quarter . government bond rate now is 6.9%.  a.  is $963.94 a good price for you to buy it or not ? what is the fair price for the bond ?  b.  what is the yield if you buy at the price that you have been offered ?  c.  if the government bond rate suddenly goes down to 4.7%, what will be the fair value of the bond ? B.  the company just paid $1.48 annual dividend and announce the plns to pay $1.54 next year . the dividend growthrate is expected to remain constant at the current level for the following  4 years and then settle at 3% per year , if you are planning to buy this stock in 2 years time, how much would you expect to pay for it if the required rate of return is 7% at the time of your purchase ? ( use two deciaml rounding )

71. A $1,000 principal value bond costs $35 in quarterly interest and matures in ten years. How much should you be able to pay for this bond if your nominal annual necessary rate of return is 12% with quarterly compounding?a. $ 941.36b. $1,051.25c. $1,115.57d. $1,391.00e. $ 825.49