Philadelphia Electric Co. (now Exelon) bonds were once selling at 120.25, with 27 years to maturity and semiannual interest payments. The coupon rate was 18%. If your required rate of return were 16% at the time, would you have bought these bonds?

If you buy municipal bond (tax free) that cost $1,000 and will pay a 4.7% coupon every year for the next 10 years (so the maturity date is in 10 years). At maturity the bond returns the original $1,000. If there is a 2.5% annual inflation, a) what real rate of return will you receive? b) How much real $ profit did you make from the bond?

Doisneau 20 year bonds have an annual coupon interest of 7 percent, make interest payments on a semiannual basis, and have a$1,000 par value. If the bonds are trading with a market's required yield to maturity of 12 percent, are these premium or discount bonds? Explain your answer. What is the price ofthe bonds?

A bond that matures in 1212 years has a $1 comma 0001,000 par value. The annual coupon interest rate is 1414 percent and the market's required yield to maturity on a comparable-risk bond is 1515 percent. What would be the value of this bond if it paid interest annually? What would be the value of this bond if it paid interest semiannually?

An insurance company is analyzing the following three bonds, each with five years to maturity, annual interest payments, and is using duration as its measure of interest rate risk. What is the duration of each of the three bonds? (Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16)) a. $10,000 par value, coupon rate=9.7%, r 0.17 b. $10,000 par value, coupon rate 11.7%, r= 0.17 c. $10,000 par value, coupon rate = 13.7%, p=0.17 Duration of the bond years

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Suppose that General Motors Acceptance Corporation issued a bond with 10 years until maturity, a face value of $1,000, and a coupon rate of 7.5% (annual payments). The yield to maturity on this bond when it was issued was 6.1%. What was the price of this bond when it was issued? When it was issued, the price of the bond was $ (Round to the nearest cent.)

Suppose that General Motors Acceptance Corporation issued a bond with 10 years until maturity, a face value of $1,000, and a coupon rate of 7.8% (annual payments). The yield to maturity on this bond when it was issued was 6.3%. What was the price of this bond when it was issued? When it was issued, the price of the bond was $1,108.85 (Round to the nearest cent.)