Treasury notes and bonds. Use the information in the following​ table:   . What is the price in dollars of the February 2001 Treasury note   with semiannual payment if its par value   is ​$100,000​? What is the current yield   of this​ note?   Treasury note is a U.S. government bond with a maturity of between two and ten years.   Par value is the principal amount to be repaid at the maturity of the bond.   Current yield is the annual bond coupon payment divided by the current price.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Treasury notes and bonds. Use the information in the following​ table:

 
.

What is the price in dollars of the February

2001
Treasury note
 

with

semiannual

payment if its

par value
 

is

​$100,000​?

What is the

current yield
 

of this​ note?

 

Treasury note is a U.S. government bond with a maturity of between two and ten years.

 

Par value is the principal amount to be repaid at the maturity of the bond.

 

Current yield is the annual bond coupon payment divided by the current price.

Data Table
(Click on the following icon e in order to copy its contents into a spreadsheet.)
Today is February 15, 2008
Issue
Coupon
Maturity
Current
|Туре
Price
YTM
Rating
Date
Rate
Date
Yield
Note
Feb 2001
7.75%
2-15-2011
5.251%
AAA
Transcribed Image Text:Data Table (Click on the following icon e in order to copy its contents into a spreadsheet.) Today is February 15, 2008 Issue Coupon Maturity Current |Туре Price YTM Rating Date Rate Date Yield Note Feb 2001 7.75% 2-15-2011 5.251% AAA
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