1. Determine the yield and retun for the buyer of a 10-year, 10% bond of P10 000.00 value if it is issued on the date it is purchased from its original owner. a. At par b. For P9 300.00 c. For P10 500.00

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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1. Determine the yield and return for the buyer of a 10-year, 10% bond of P10
000.00 value if it is issued on the date it is purchased from its original owner.
a. At par
b. For P9 300.00
c. For P10 500.00
2. What is the return for the seller in problem number 1 in each of transactions a, b,
and c assuming that the original acquisition was at par?
Transcribed Image Text:1. Determine the yield and return for the buyer of a 10-year, 10% bond of P10 000.00 value if it is issued on the date it is purchased from its original owner. a. At par b. For P9 300.00 c. For P10 500.00 2. What is the return for the seller in problem number 1 in each of transactions a, b, and c assuming that the original acquisition was at par?
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