A bond offers a coupon rate of 11%, paid semiannually, and has a maturity of 6 years. Face value is $1,000. If the current market yield is 13%, what should be the price of this bond? Enter your answer in terms of dollars and cents, rounded to 2 decimals, and without the dollar sign. That means, for example, that if your answer is $127.5678, you must enter 127.57
A bond offers a coupon rate of 11%, paid semiannually, and has a maturity of 6 years. Face value is $1,000. If the current market yield is 13%, what should be the price of this bond? Enter your answer in terms of dollars and cents, rounded to 2 decimals, and without the dollar sign. That means, for example, that if your answer is $127.5678, you must enter 127.57
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:A bond offers a coupon rate of 11%, paid semiannually, and has a maturity of 6 years. Face value
is $1,000. If the current market yield is 13%, what should be the price of this bond?
Enter your answer in terms of dollars and cents, rounded to 2 decimals, and without the dollar
sign. That means, for example, that if your answer is $127.5678, you must enter 127.57
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