A bond with a coupon rate of 8.2% paid semi-annually, maturing in 5 years at a value of $1,000 and a current market price of $720, will have a yield to maturity of:

Q: What is the value of a bond that matures in 12 years, makes an annual coupon payment of $50, and has…

A: The value of the bond is the current price of the bond. It is the present value of the cash flows…

Q: What is the duration of the following bond: $1,000 par value, 6% annual coupon, 4 years to maturity,…

A: Variables in the question:Par value=$1000Annual coupon=6% (assumed paid annually)N=4 yearsYTM=6.5%

Q: A bond had a $1000 par value, 9 years to maturity, an 11% annual coupon, and sells for $1150. What…

A: Bonds refer to instruments used by the issuing company to raise debt capital from non-traditional…

Q: A 15 year bond trades at a price of 91.92 when the yield to maturity is 7.72%. Assuming annual…

A: Time = t = 15 Face Value = fv = 1000Price of Bond = pv = 91.92/100 * 1000 = 919.20Yield to Maturity…

Q: Assume a company-issued bond with 4,000 OMR face value in the muscat security market with 0.154…

A: Given: Face value = 4,000 Coupon rate = 15.4% YTM = 8% Years = 12

Q: A bond with 15 years to maturity, a face value of $1000, pays a coupon rate of 14% APR compounded…

A: Solution:- Yield-to-maturity means the rate of return earned by bond holder, if the bond is hold…

Q: Calculate the Macaulay duration and the modified duration of a three-year bond with a face value of…

A: Answer -    Macaulay Duration -  Macaulay duration is a weighted average of the times to receive the…

Q: what is its yield-to-maturity?

A: Bond valuation is a method of finding the fair value of the bond. Fair value means the present…

Q: The yield to maturity of a $1,000 bond with a 7.0% coupon rate, semi-annual coupons, and two years…

A: A bond is a kind of debt security issued by the government and private companies to the public for…

Q: find the price of the following bond:  $1,000 face value, 6% semi-annual coupon, 5.5% market rates,…

A: Here, Face value = $1,000 Semi-annual coupon = 6% Interest rate = 5.5% Time to maturity = 8 years To…

Q: The yield to maturity of a $ 1 000 bond with a 7.2 % coupon​ rate, semi-annual​ coupons, and two…

A: The objective of the question is to calculate the price of a bond given its yield to maturity,…

Q: The price of a 20-year bond that has a coupon rate of 8% is $1100.The bond pays semiannual coupon.…

A: Calculate the semiannual coupon payment:Coupon rate = 8%Since payments are semiannual, divide the…

Q: For a bond with coupon rate of 8% per annum, Face value of RM1000, 5 years to mature and the price…

A: Dear student , we need to use excel RATE function to calculate yield to maturity

Q: The

A: Capital gains yield =p1-p0/p0 Po=original purchase price of security P1=current market price of…

Q: A 15 year $5000 par value bond has a 12% semiannual coupon and a nominal yield to maturity of…

A: Price of the bond refers to the current value of the bond. It is calculated as the present value of…

Q: You see a bond with the following characteristics: bond matures in 10 years coupon rate = 7% APR…

A: Time period of bond maturity i 10 years Coupon rate is 7% APR compounded semi-annually Coupon…

Q: A 15-year, 11% coupon bond with semi-annual payment and a par value of $1,000 may be called in 5…

A: Since you have asked a question with multiple parts, we will solve the first parts for you. Please…

Q: A 15 years bond with annual coupon rate equal to 10% (paid semiannually), if the par value of the…

A: A bond is considered as a fixed-income instrument. A bond represents the loan provided by the…

Q: Find the Yield to Maturity (YTM) of a bond with a $2,500 par value, a remaining life of 10 years,…

A: Yield to maturity (YTM) is the total return anticipated from holding a bond until it matures. It…

Q: Using the bond's yield rate, calculate the Macaulay duration of the bond in years.

A: The Macaulay duration of a bond represents the weighted average time until each cash flow is…

Q: A 3-year bond with 12% coupon rate and Rs.1000 face value has the yield to maturity of 8%. Assuming…

A: Bond is a debt instrument issued by companies and government. It is a fixed income instrument which…

Q: Compute the intrinsic value of an 18% coupon, a 4-year maturity bond whose principal will be repaid…

A: Intrinsic value = present value of all the future cash inflows

Q: Calculate the present value of a 15-year bond having the following parameters: face value: PLN 500;…

A: As we have annuities (coupon payments) and that too are compounded quarterly,  it becomes quite…

Q: The price today of a 4-year coupon bond with annual coupons, a coupon rate of 6%, and a face value…

A: A bond is a kind of debt security issued by the government and private companies to the public for…

Q: Assume a par value of $1,000. Caspian Sea plans to issue a 10.00 year, semi-annual pay bond that has…

A: To calculate the price of the bond we will use the below formula   Price of bond =…

Q: A 5.5 per cent coupon bond with a face value of $1,000 matures in 7 years pays semiannually, and has…

A: Bonds are the liabilities of the company which is issued to raise the funds required to finance the…

Q: A three-year bond is issued with a 9% coupon paid annually, and a maturity value of £100. If the…

A: Par value = £100 Coupon rate = 9% Coupon rate = 100*0.09= £9 Yield to maturity = 12% Years to…

Q: Find the value of a 15% coupon 3 year maturity bond, whose face value will be repaid at the end of…

A: Let the Par Value be $1000 and YTM be 12% Using excel PV function

Q: You notice in the WSJ a bond that is currently selling in the market for ​$1,053 with a coupon of9​%…

A: Market price of bond = $1,053 Coupon rate = 9% Par value = $1000 Annual coupon amount = Par…

Q: Calculate the present value of a 15-year bond having the following parameters: face value: PLN 500;…

A: Present value of bonds refers to the intrinsic price of the bonds. The intrinsic value helps in…

Q: A zero - coupon bond has a face value of R10000.it matures in 13years. The yield to maturity is 4.7…

A: The objective of the question is to calculate the present value of a zero-coupon bond. A zero-coupon…

Q: stimate the duration of a par-value bond w

A: Duration is the time taken for the bond to recoup the initial investment. It is represented in…

Q: A 10 year corporate bond has a maturity value of $10,000 and a coupon rate of 7%, with coupons paid…

A: A financial instrument with a fixed cost that helps a company to raise funds for business operations…

Q: The yield to maturity of a $1000 bond with a 6.8 % coupon rate, semiannual coupons, and two years to…

A: BOND:A bond is a long-term fixed-income financial instrument issued by the companies to raise…

Q: The yield to maturity of a $1,000 bond with a 7.3% coupon rate, semiannual coupons, and two years to…

A: Solution:- Price of bond means the price at which the bond is currently trading in the market. So,…

Q: A fixed-interest security pays coupons at a rate of 4% per annum annually in arrears and is redeemed…

A: The objective of the question is to calculate the discounted mean term (DMT) of a bond. The DMT is a…

Q: A 15 year $5000 par value bond has a 12% semiannual coupon and a nominal yield to maturity of 8.5%.…

A: The objective of the question is to calculate the price of a bond given its par value, coupon rate,…

Q: A bond paying a coupon of 7% is redeemable in five years at nominal value ($100) and is currently…

A: Annual coupon payment on bond = Coupon rate×Par value = 0.07×$100 = $7 Required rate of return on…

Q: Compute the current price of a bond which matures in 40 years and has a required rate of return of…

A: Information Provided: Term = 40 years Required rate = 10% Coupon rate semi-annually = 6% Fututre…