What is the semi-annual coupan bond's norminal yield to maturity (YTM), if the years to maturity is 15 years, and sells for 105% with coupons rate of 10%? Assume the par value of the bond is $1,000.
Q: A bond has a $1,000 par value, 12 years to maturity,and an 8% annual coupon and sells for $980.a.…
A: a) The computation of yield to maturity as follows: Hence, the YTM is 8.27%.
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A: Please note that coupons are being paid semi annually. Hence, the period here is half year. All the…
Q: what is the bond's yield to maturity?
A: Call price = Par value + call premium = $1000 + $1000*10% = $1100
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A: The computation of current price of bond as follows: Hence, the current price of bond is $757.58.
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A: Given details are : Par value of bond = $1000 Current price i.e. present value = $1100 Time period =…
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A: Solution:- Bond price means the price at which the bond is currently trading in the market. Price of…
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A: Yield to maturity (YTM) is the discount rate or the rate of return that an investor earns by holding…
Q: A bond with 20 years to maturity and a face value of $1000 pays semi-annual coupons at a rate of 9%…
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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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A: Solution:- Yield to maturity is the rate of return earned by the bond holder, if he holds the bond…
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What is the semi-annual coupan bond's norminal yield to maturity (YTM), if the years to maturity is 15 years, and sells for 105% with coupons rate of 10%? Assume the par
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- Suppose a 10-year, 10% semiannual coupon bond with a par value of 1,000 is currently selling for 1,135.90, producing a nominal yield to maturity of 8%. However, the bond can be called after 5 years for a price of 1,050. (1) What is the bonds nominal yield to call (YTC)? (2) If you bought this bond, do you think you would be more likely to earn the YTM or the YTC? Why?Bond Yields and Rates of Return A 10-year, 12% semiannual coupon bond with a par value of 1,000 may be called in 4 years at a call price of 1,060. The bond sells for 1,100. (Assume that the bond has just been issued.) a. What is the bonds yield to maturity? b. What is the bonds current yield? c. What is the bonds capital gain or loss yield? d. What is the bonds yield to call?What is the semi-annual coupon bond’s nominal yield to maturity (YTM), if the years to maturity is 15 years, and sells for 119% with coupons rate of 10%? Assume the par value of the bond is $1,000.
- What is the semi-annual coupon bond’s nominal yield to maturity (YTM), if the years to maturity is 15 years, and sells for 105% with coupons rate of 10%? Assume the par value of the bond is $1,000. Using a financial calculatorWhat is the duration of a two-year bond that pays an annual coupon of 9 percent and has a current yield to maturity of 16 percent? Use $1,000 as the face value.Consider a bond that has a face value of $1,000. The bond has a maturity of 25 years and pays coupons of 5.5% per annum. If the bond's required rate of return is 8.0% per annum nominal, and coupons are received semi-annually, what is the current market price of the bond?
- What is the approximate yield to maturity (YTM) of a bond that is currently selling for $1,150 in the market place? The annual bond has 20 years remaining until maturity and pays a 14% coupon. (Assume annual interest payments and discounting.)What is the price of a bond with a coupon rate of 5.20% and semi-annual payments, if the yield-to-maturity is 10.20% and the bond matures in 20 years? Assume a par value of $1,000.What is the semi-annual coupon bond's nominal yield to maturity, if the years to maturity is 15years, and sells for 119% with a coupons rate of 10%? Assume the par value of the bond is $1000.
- 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 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 bond with a face value of $2,000 that pays a coupon of $150 for 10 years. Suppose the bond is purchased at $500, and can be resold next year for $400. What is the rate of return of the bond? What is the yield to maturity of the bond?
