3. There is a bond that has a quoted price of $1,068.18 and a par value of $1,000. The coupon rate is 7.11 percent and the bond matures in 17 years. If the bond makes semiannual coupon payments, what is the YTM of the bond? I 4. A 13-year, semiannual coupon bond sells for $962.62. The bond has a par value of $1,000 and a yield to maturity of 6.51 percent. What is the bond's coupon rate? 5. Lincoln Park Co. has a bond outstanding with a coupon rate of 5.58 percent and semiannual payments. The yield to maturity is 6.8 percent and the bond matures in 12 years. What is the market price if the bond has a par value of $1,000?
3. There is a bond that has a quoted price of $1,068.18 and a par value of $1,000. The coupon rate is 7.11 percent and the bond matures in 17 years. If the bond makes semiannual coupon payments, what is the YTM of the bond? I 4. A 13-year, semiannual coupon bond sells for $962.62. The bond has a par value of $1,000 and a yield to maturity of 6.51 percent. What is the bond's coupon rate? 5. Lincoln Park Co. has a bond outstanding with a coupon rate of 5.58 percent and semiannual payments. The yield to maturity is 6.8 percent and the bond matures in 12 years. What is the market price if the bond has a par value of $1,000?
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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Transcribed Image Text:3. There is a bond that has a quoted price of $1,068.18 and a par value of $1,000. The
coupon rate is 7.11 percent and the bond matures in 17 years. If the bond makes
semiannual coupon payments, what is the YTM of the bond?
4. A 13-year, semiannual coupon bond sells for $962.62. The bond has a par value of
$1,000 and a yield to maturity of 6.51 percent. What is the bond's coupon rate?
5. Lincoln Park Co. has a bond outstanding with a coupon rate of 5.58 percent and
semiannual payments. The yield to maturity is 6.8 percent and the bond matures in 12
years. What is the market price if the bond has a par value of $1,000?
2
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