Calculate the current yield on the described bond.   A $2000 Treasury bond with a coupon rate of 4.3​% that has a market value of ​$1625.  The current yield is %?  round to two decimal places as needed

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Q: Consider a coupon bond with a face value of $900, one year to maturity, and a coupon rate of 6%…

A: The following formula will be used:

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A: Given information: Current yield on bond is 8.875 Current selling price is 108.875

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A: Instead of financial calculator Microsoft excel is used to calculations. Working note:

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

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Q: a. What is the Coupon rate? b. What is the bond's yield to maturity?

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A: 1. Current yield on bond = 2. yield to maturity  = where,RV =redemption value NP = current pricen =…

Q: Compute the yield to maturity on a bond with a $1000 par value, a coupon rate of 3.75% with…

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Q: Suppose a ten-year, $1,000 bond with an 8.0% coupon rate and semiannual coupons is trading for…

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A: Compound = Semiannually = 2Time = t = 10 * 2 = 20Face Value = fv = $1000Coupon Rate = c = 8.9 / 2 =…

Q: What is the coupon rate for a bond with a face value of $1,000, 8 years to maturity, a current price…

A: Data given:: Face value =$1000 n=8 years Current price = $914 Yield to maturity = 8% Assumed…

Q: Suppose a five-year, $1,000 bond with annual coupons the bond's coupon rate?

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Q: Consider a coupon bond with a face value of $100, a coupon rate of 25%, a time-to-maturity of two…

A: Yield to Maturity: The yield to maturity (YTM) of a bond is the percentage rate of return earned by…

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A: Bond valuation aims to ascertain a bond's intrinsic value. It entails determining the present value…

Q: Suppose a five-year, $1,000 bond with annual coupons has a price of $896.93 and a yield to maturity…

A: The bond coupon rate can be calculated with the help of PMT function of Excel. The PMT function is…

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Q: Find the current yield as a percent of a bond, whose coupon rate is listed as 8.875 and currently…

A: Current Yield  = Annual Coupon Payment / Current Price of Bond  Annual Coupon Payment  =  8.875…

Q: Suppose a five-year, $1,000 bond with annual coupons has a price of $899.96 and a yield to maturity…

A: Bond refers to the financial instrument issued by financial institutions or banks for providing…

Q: A zero coupon bond is selling for $575.04. The bond matures in 13 years and has a afce value of…

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Q: Yield to maturity The bond shown in the following table pays interest annually. (Click on the icon…

A: A.) YTM is Yield to Maturity which is a rate of return earned on bond if it is purchased at current…

Q: Consider two bonds. The first is a 6% coupon bond with six years to maturity, and a yield to…

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Q: Suppose a five-year, $1,000 bond with annual coupons has a price of $897.85 and a yield to maturity…

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Q: bond with exactly 28 years remaining until maturity with a par value of $1,000 and a coupon rate of…

A: Current yield shows how much is coupon payment of bond against the price of bond and it is related…

Q: What is the Yield-to-Maturity of a bond with a par value of $1000, a current price of $819.36, 11…

A: The objective of the question is to calculate the Yield-to-Maturity (YTM) of a bond. The YTM is the…

Q: Suppose a five-year, $1,000 bond with annual coupons has a price of $904.31 and a yield to maturity…

A: Face value = $1,000Years to maturity = 5 yearsYTM = 5.7%Current price = $904.31

Q: a 1, 000 treasury bond with a coupon rate of 5.4% that has a narkemarket value of $900. what is the…

A: The current yield is calculated as the coupon payment divided by the market price of the…

Q: Calculate the current yield on the following bond: (a) Price: $856.00, (b) Market Rate of Interest:…

A: In this question we need to compute the current yield on bond with following details: Current price…

Q: Consider a bond with a coupon of 6.2 percent, five years to maturity, and a current price of…

A: Macaulay's Duration of the bond is the measure of determining the weighted average time period or…

Q: Find the current yield (as a %) of a bond whose coupon rate is listed as 8.875 and currently selling…

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Q: Assuming annual interest payments and a principal value of $100, what is the value of a 5-year 6.4%…

A: A bond is a debt security representing a loan made by an investor to a government or corporation,…

Q: Suppose a five-year, $1,000 bond with annual coupons has a price of $901.55 and a yield to maturity…

A: The coupon rate can be computed by using goal seek feature of excel. Firstly enter the formulas as…

Q: What is the semi-annual coupon bond’s nominal yield to maturity (YTM), if the years to maturity is…

A: Par Value = 1000 Price of Bond = 105% × 1000 = 1050 Coupon = Coupon Rate / 2  × Par Value Coupon =…

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A: Given: Coupon rate = 9.5% Face value = R1,000 Yield to maturity = 11.5% Year = 5

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Q: Find the value of a 5.9% Coupon Bond with a required return of 12.21% and 20 years to maturity. Keep…

A: PV = $534.81Explanation:Step 1:Use financial calculatorFV=1000N= 20 years (annually)PMT=1000*5.9% =…

Q: Suppose you are reviewing a sheet for a bond portfolio and see the following information. These…

A: When an investor prefers to hold a set of securities that belong to bond investment alone, then the…