7.5 The following shows the information of a bond: Type of Bond Non-callable municipal bond Issue Date 20-Jun-11 Maturity Date 20-Jun-21 Face Value              100.00 Redemption Value              100.00 Coupon Rate 8% payable semi-annual 7.5a Assume that the coupon dates of the bond are June 20 and December 20 ofeach year. Isaac bought the bond on the issue date at a price of $89. Slightlyover 4 years on August 5, 2015 Simon purchased the bond from Isaac at apurchase (dirty) price of $93.70. Find (a) the yield to maturity of the bond upon issue;

Q: Please Provide answer as per posibility

A: Required 1 : Since the bond is sold AT PAR, the entry would be Debit Cash $500,000, Credit Bonds…

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Q: 7.5c The following shows the information of a bond: Type of Bond Non-callable municipal bond Issue…

A: Yield-to-Maturity: The yield to maturity is the amount at which a bondholder will receive if the…

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A: Period        Cash Flows  0 1                  $20.39 2                  $20.39   39.…

Q: 18. Given the information below, which bond(s) will be issued at a discount? Bond 1 Bond 2|Bond 3…

A: 18.  Bond 1, and Bond 2 are issued at discount.

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A:

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A: Face Value = $3,000,000 Coupon Rate = 6%  Yield = 8% Time Period = 3 Years

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A: 1.

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