ou just bought a newly issued bond with a 4% coupon and a 5 year term.  If the indenture states that the bond is callable two years from now for a price of $1,050, what is your yield to call?   Question 24 options:   5.08%   4.42%   8.81%   6.38%

If you have a bond with a price of $1,271.81, coupon of 12%, and the market interest rate is 8%, what is the term of the bond?   Question 22 options:   20 years   10.2 years   10 years   3.83 years

B

You purchase a zero coupon bond with 14 years to maturity and a yield to maturity of 5.01 percent. The bond has a par value of $1,000. What is the implicit interest for the first year? Assume semiannual compounding.   Multiple Choice   $24.74   $24.36   $24.53   $22.20   $25.37

You purchased a bond 2 years ago for $985.43. Today the bond is priced at 794.27, and it matures in 6 years. The bond provides a 9% coupon and pays interest semi-annually. Assuming a par value of $1,000, what is the current yield on this bond?   Question 12 options:   12.46%   11.33%   10.88%   14.21%   10.31%

9. An investor purchases 5 zero-coupon bonds, with terms of 1, 2, 3, 4, and 5 years. Each bond has a maturity value of 1,000, and is priced based on the following yield curve: Term (yrs.) Spot rate 2.4% 1 3.0% 3.4% 4 3.7% 5 3.9% What is the modified duration of the investor's portfolio? 2 3

A bond with a $1,000 par value has a 4.6% coupon with semi-annual interest bayments. The bond has 25 years to maturity. If the yield to maturity is 5.8%, what is he present value of the bond? $843.64 %241,177.19 $894.35 O $842.65 O $1,299.35 Page 11 of 30 Previous Page Next Page Submit Quiz O of 30 questions saved

You purchase a zero coupon bond with 17 years to maturity and a yield to maturity of 5.13 percent. The bond has a par value of $1,000. What is the implicit interest for the first year? Assume semiannual compounding. Multiple Choice $21.41 $21.08 $21.96 $19.22 $21.23

1. The rate of return on a 10 percent coupon bond that is initially purchased at par for $1,000 and sells for $1,100 the next year is ___%   2. The current interest rate on a 10-year coupon bond (with face value = $1,000 and annual coupon rate = 3.25%) is 2.42%.  This implies: (there are more than one answer) Question 14 options:   the price of this bond is $1,000.   the price of this bond is greater than $1,000.   the price of this bond is less than $1,000.   the buyer of the bond will have a return of 2.42% if she sells the bond next year.   the buyer of this bond will receive $32.5 from the bond issuer every year before maturity while holding the bond.   3. True or False?  Last year you purchased a bond with an interest rate of 5%.  Now the interest rate on the bond market drops to 4%.  Then the face value of your bond is lower.

3. You are given the following spot rates: Term Spot rate 1 5.00% 2 6.59% 3 6.80% 4 7.00% One year from now, you are considering the purchase of a 3-year zero-coupon bond with a par value of $1,000. What price would you pay for the bond in one year?