Answered: A $1000 bond with 5.3% annual coupons…

A $1000 bond with 5.3% annual coupons maturing at $1019. Find the price if the effective annual yield rate is 3% and the PV of the redemption value is $828.54. 1162.65 1089.15 1147.85 1158.75 1127.95

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter4: Bond Valuation

Section: Chapter Questions

Problem 8MC: Suppose a 10-year, 10% semiannual coupon bond with a par value of 1,000 is currently selling for...

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Question

A $1000 bond with 5.3% annual coupons maturing at $1019. Find the price if the effective annual yield rate is 3% and the PV of the redemption value is $828.54.
1162.65
1089.15
1147.85
1158.75
1127.95

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