A Japanese firm issued 20 - year bonds two years ago at a coupon rate of 7.50 percent. The bonds make semiannual payments. These bonds currently sell for 98 percent of par value. The par value is JPY 10,000. Calculate the yield - to - maturity (YTM)!

A major manufacturer is reevaluating its bonds since it is planning to issue a new bond in the current market. The firm's outstanding bond issue has 7 years remaining till maturity. The bonds were issued with an 8 percent coupon rate (paid quarterly) and selling at par value. The required rate of return is 10 percent. What is the current value of these securities?

Bonds often pay a coupon twice a year. For the valuation of bonds that make semiannual payments, the number of periods doubles, whereas the amount of cash flow decreases by half. Using the values of cash flows and number of periods, the valuation model is adjusted accordingly. Assume that a $1,000,000 par value, semiannual coupon US Treasury note with three years to maturity has a coupon rate of 6%. The yield to maturity (YTM) of the bond is 9.90%. Using this information and ignoring the other costs involved, calculate the value of the Treasury note: $567,545.29   $765,735.71   $900,865.54   $1,081,038.65     Based on your calculations and understanding of semiannual coupon bonds, complete the following statement:   Assuming that interest rates remain constant, the T-note’s price is expected to ( Increase, Decrease).

A Japanese company has a bond outstanding that sells for 87 percent of its ¥100,000par value. The bond has a coupon rate of 5.4 percent paid annually and matures in21 years. What is the yield to maturity of this bond?