1. Firm X has 6.37 percent coupon bonds on the market with 13 years to maturity. The bonds make semiannual payments and currently sell for 102.63 percentpar. What is the current yield on X's bonds? Answer in percent to two decimals. 2. A premium annual - pay bond pays a $82 coupon, has a yield to maturity of 5.17%, and is priced at $1,093.98. How many years till the bondmatures? Answer in years to at least two decimal places.

Bond refers to the financial instrument issued by the government and financial institutions at…

1. Firm X has 6.37 percent coupon bonds on the market with 13 years to maturity. The bonds make semiannual payments and currently sell for 102.63 percent of par. What is the current yield on X" bonds? Answer in percent to two decimals. 2. A premium annual - pay bond pays a $82 coupon, has a yield to maturity of 5.17%, and is priced at $1,093.98. How many years till the bond matures? Answer in years to at least two decimal places.

1. Firm X has 6.37 percent coupon bonds on the market with 13 years to maturity. The bonds make semiannual payments and currently sell for 102.63 percent of par. What is the current yield on X" bonds? Answer in percent to two decimals. 2. A premium annual - pay bond pays a $82 coupon, has a yield to maturity of 5.17%, and is priced at $1,093.98. How many years till the bond matures? Answer in years to at least two decimal places.

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

Problem 1PS

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Similar questions

Ninja Company's bonds mature in 10 years, have a par value of $1,000, and make an annual coupon interest payment of $70. The market requires an interest rate of 7.5% on these bonds. What is the bond's price? Select one: a. $965.68 b. $918.26 c. $934.77 d. $922.42
A $1,000 par value bond matures in 11 years, pays interest semiannually, and has a 6.5 percent coupon. The bond currently sells for $1,025. What is the yield-to-maturity? 6.17% 6.37% 6.34% 6.18% 6.28%
Assume all bonds have a face value or par value of 1,000
LKD Company has 11 percent coupon bonds with a YTM of 9.5 percent. The current yield on these bonds is 9.9 percent. How many years do these bonds have left until they mature? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Years until maturity
Ordinary bonds of CenterPoint Energy Inc. mature in 18 years and pay coupons twice per year. What is today’s quoted price for this CenterPoint Energy bond if the next coupon will be disbursed in exactly six months? Note: the YTM = 9.65% and the CenterPoint Energy bond annual coupon rate is 9.0%. a. $1,183.34 b. $1,706.64 c. $1,761.65 d. $944.99 e. $1,249.94
еВook Harrimon Industries bonds have 5 years left to maturity. Interest is paid annually, and the bonds have a $1,000 par value and a coupon rate of 9%. a. What is the yield to maturity at a current market price of 1. $822? Round your answer to two decimal places. % 2. $1,107? Round your answer to two decimal places. % b. Would you pay $822 for each bond if you thought that a "fair" market interest rate for such bonds was 13%-that is, if ra = 13%? I. You would not buy the bond as long as the yield to maturity at this price is less than the coupon rate on the bond. II. You would buy the bond as long as the yield to maturity at this price is greater than your required rate of return. III. You would buy the bond as long as the yield to maturity at this price is less than your required rate of return. IV. You would buy the bond as long as the yield to maturity at this price equals your required rate of return. You would not buy the bond as long as the yield to maturity at this price is…
Problem: A company has issued three bonds (Par Value S1,000) with the following data: What happends to the bond prices as each bond approaches the maturity date? (assume similar bonds with 15 year maturity sell for 10% coupon rate and that this rate stays const. over time) Market rate 10% 5-years ago 10-years ago 25 year bond Issue date Maturity Coupon rate Coupon Payment Today 15 year bond 10% 20 year bond 7% 13% 70 100 130 15 15 15 Positive Values Positive Values Positive Values 6. 8. 9. 10 11 12 13 14
A firm issues zero-coupon bonds with a face value of $1,000 and time to maturity of 26 months. The bonds are currently trading at $751.4. What is the annual yield on this bond? Answer in percent, rounded to one decimal place (5.428% --> 5.4).
LKD Company has 10 percent coupon bonds with a YTM of 8.6 percent. The current yield on these bonds is 9.5 percent. How many years do these bonds have left until they mature? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Answer is complete but not entirely correct. Years until maturity 4.73 x
A 9 year bond with maturity value of $4300.02 and a yield rate of 4.9% was sold 18 months before maturity. If the seller earned 6% on the bond over the time that it was held, then for how much did they sell it? Give your answer rounded to the nearest cent

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