Suppose that a 16-year bond with a face value of 1000 dolla is redeemable at par and earns interest at 9.2 percent convertible semiannually. If the yield rate is 7.1 percent convertible semiannually, what is the book value immediately before the payment of the 15th coupon? Answer = dollars.
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- Suppose a bond is priced at $1108, has 18 years remaining until maturity, and has a 8% coupon, paid monthly. What is the amount of the next interest payment (in $ dollars)? $__________.Consider a 10-year bond with a face value of $1,000 that has a coupon rate of 5.5%, with semiannual payments. a. What is the coupon payment for this bond? b. Draw the cash flows for the bond on a timelineSuppose that a 11-year bond with a face value of 3000 dollars is redeemable at par and pays semiannual coupons that increase by 1.4 percent per coupon. If the last coupon is for 75 dollars and the yield rate is 7.7 percent convertible semiannually, what is the book value of the bond immediately after the 12th coupon is paid? Answer = dollars.
- Consider a 10-year bond with a face value of $1,000 that has a coupon rate of 5.9%, with semiannual payments. a. What is the coupon payment for this bond? b. Draw the cash flows for the bond on a timeline. a. What is the coupon payment for this bond? The coupon payment for this bond is $ (Round to the nearest cent.)What is the Macaulay duration of a semi-annual bond with a coupon rate of 7 percent, five years to maturity, and a current price of $959? What is the modified duration? Duration is __. years. Modified duration is __ years.What is the value of a bond that has a par value of $1,000, a coupon of $120 (annually), and matures in 10 years? Assume a required rate of return of .0702. Instruction: Type your answer in dollars, and round to two decimal places.
- What is the approximate price of a bond that matures in two years (T= 2), with a face value of $1000 (F= $1000), and an annual coupon payment of $50 (C = $50), if the interest rate is 6 percent? $1056.67 $1100.00 $876.33 $981.67A 13 -year bond with a face value of 58000 is redeemable at par and earns inserest atfz=9%. If the yeld rate isj=7%, find the book value 2 moneis betore the payment of the 9 th coupon. Use compound interest for points in time between coupon payments. Answer 5Consider a 12%, 15 year bond that pays interest semiannually, and its current price is $675. What is the promise yield to maturity?
- how does the equation for valuing a bond change if semiannual payments are made? find the value of a 10-year, semiannual payment, 10% coupon bond if nominal rd equal 13%.Suppose a bond has a price today of $800, a coupon rate of 4.95%, and six years remaining to maturity. If interest is paid semi-annually, what is this bond's yield to maturity?Consider a two-year bond with a face value $1000 and a coupon rate 4.2%paid annually.(a) On the market, the 2-year interest rate is 3%. What is the fair marketprice for this bond?(b) When the interest rate increases to 5%, what would the bond pricebecome?(c) What if the interest rate falls to 1%?