Union pacific bonds have a 15 year maturity, a 7.25% semiannual coupon, and par value of 1000. The going interest rate is 8.20%, based on semiannual compounding. What is the bonds price?

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Q: bonds

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A: Computation:

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A: Using Financial Calculator

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Q: What is the yield to maturity (expressed as APR with semi-annual compounding) for a three-year bond…

A: Compound = Seminannual = 2Time = t = 3 * 2 = 6Coupon Rate = c = 10/2 = 5%Face Value = fv =…

Q: You find a zero bond with a par value of $10,000 and 23 years to maturity. The yield to maturity on…

A: The zero-coupon bonds are the bonds under which the company needs to repay the borrowings at the…

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A: The price of the bond is the PV of all future coupons and par value discounted at the YTM. Since the…

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…

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A: YTM is also known as Yield to Maturity. It is a capital budgeting technique which helps in  decision…

Q: A 15 year, semi-annual bond has a coupon rate of 4%. The YTM is 4%. What is the bond's duration and…

A: Given: Years = 15 Coupon rate = 4% YTM = 4%

Q: A bond has a $1,000 par value, 22 years to maturity, and a 7.00% annual coupon and sells for $875.…

A: Yield to Maturity (YTM) = Coupon Payment + (Face Value - Market Value)/Years to Maturity/Face Value…

Q: A 30-year bond has a par value of $1,000, a coupon rate of 9% with semiannual coupon payment, and a…

A: The computation of current price of bond as follows: Hence, the current price of bond is $757.58.

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A: Bond valuation entails determining the present value of a bond's future cash flows, which include…

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A: Consider the face value be $1000 So, price of bond = $1000

Q: What is the duration of a 2-year $1.000 par value bond with a 10% coupon paid semiannually and an 8%…

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Q: ,000. What is the bond's YTM (Yield to Maturity) and it Current Yield? use excel format

A: Yield to Maturity Formula of a bond refers to the total return which is anticipated on the bond in…

Q: Bond XYZ has a par value of $1,000, an 8% semiannual coupon rate and 10 years to maturity. Bond XYZ…

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

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Q: Suppose a company issues a bond with a par value of €1,000, 5 years to maturity, and a coupon rate…

A: Par Value = €1,000 Years to Maturity = 5 years Coupon Rate = 8.5%  Yield to maturity(YTM) = 7.5%…

Q: Haswell Enterprises' bonds have a 10-year maturity, a 6.25% semiannual coupon, and a par value of…

A: Interest=Par value×Coupon rate×12=$1,000×6.25%×12=$31.25

Q: The market price of a semi-annual pay bond is $986.15. It has 15.00 years to maturity and a yield to…

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Q: The market price of a $1000 par value bond issued by Kramerica, Inc that makes semiannual coupon…

A: Solution:-Coupon rate is the percentage of annual coupon amount to the face value of the bond.To…