A semi annual coupon bond has a par value of $1000 and matures in 10years. Today it sells for $887.00 and has a yield to maturity of 10.9%. Solve for its coupon rate
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A semi annual coupon bond has a par value of $1000 and matures in 10years. Today it sells for $887.00 and has a yield to maturity of 10.9%. Solve for its coupon rate
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- A bond with a face value of $1,000 has 10 years until maturity, carries a coupon rate of 9%, and sells for $1,100. Interest is paid annually. Assume a face value of $1,000 and annual coupon payments.a) If the bond has a yield to maturity of 9% 1 year from now, what will its price be at that time?b) What will be the rate of return on the bond? c) If the inflation rate during the year is 3%, what is the real rate of return on the bond? Assume annual interest payments.A unique 30-year bond matures in 10 years sells for $1050, has a $1,000 face value, pays interest monthly, and has a yield to maturity of 10.5883%. What is the annual coupon rate? What is the bond’s current yield?The market price of a semi-annual pay bond is $990.08. It has 17.00 years to maturity and a coupon rate of 6.00%. Par value is $1,000. What is the yield to maturity?
- A bond has 10 years until maturity, a coupon rate of 7.2%, and sells for $1,180. Interest is paid annually. (Assume a face value of $1,000.) If the bond has a yield to maturity of 10.8% 1 year from now, what will its price be at that time?The value of a bond today is $1,055 and matures in 12 years’ time and a coupon rate of10.5% paid annually. What is the yield to maturity when the par value of the bond is$1,000?A bond has nine years to maturity, a $2,000 face value, and a 5.5% coupon rate with annual coupons. What is its yield to maturity if it is currently trading at $1,547?
- A bond with a face value of $1,000 has 10 years until maturity, carries a coupon rate of 9%, and sells for $1,100. Interest is paid annually. Assume a face value of $1,000 and annual coupon payments. 1) If the bond has a yield to maturity of 9% 1 year from now, what will its price be at that time? 2) What will be the rate of return on the bond? 3) If the inflation rate during the year is 3%, what is the real rate of return on the bond? Please show workings with formulas.A bond has a $1,000 par value, 15 years to maturity, and an 8% annual coupon and sells for $1,080. What is its yield to maturity (YTM)?What is the semi-annual coupon bond’s nominal yield to maturity (YTM), if the years to maturity is 15 years, and sells for 105% with coupons rate of 10%? Assume the par value of the bond is $1,000. Using a financial calculator
- A 10 year bond pays interest of $28.20 semiannually, has a face value if $1000, and is selling for $810.01. What are its annual coupon rate and yield to maturity?the price of a bond issued by some company is $1065 today in the market. If this bond pays a 9.5% coupon rate with payments made smi - annually and has 9 years to mature with a par value of $1000. what is the yield to maturity on this bond?A bond has an annual 8 percent coupon rate, a maturity of 10 years, a face value of $1,000, and makes semiannual payments. If the price is $934.96, what is the annual nominal yield to maturity on the bond?