abc company has outstanding bond has a 1,000 maturity value and a 4.5% coupon rate of interest paid semiannually. the bond was issued five years ago, matures in 10 years. if investors require a return equal to 6%

Q: A Macrohard Corp. bond carries an 8% coupon, paid annually and has 10 years to maturity.  The par…

A: 1 a)price of the bond today future value  = 1000 coupon (annually) = 8%( pmt) = 80 required rate of…

Q: Your company currently has $1,000 par, 6% coupon bonds with 10 years to maturity and a price of…

A: The coupon rate of a bond is the fixed interest rate that the issuer pays to the bondholders. It is…

Q: A corporate bond with annual coupons has a face value of $1,000, 4 years to maturity and a coupon…

A: A bond is a debt security that represents a loan given by an investor to a borrower, typically a…

Q: Chronowerx Inc. has issued a bond that has a face value of $1,000, a 3% coupon rate (with semiannual…

A: Yield to maturity, or YTM, refers to the overall income you may expect from the bond or debt fund…

Q: A corporate bond pays interest annually and has 4 years to maturity, a face value of $1,000 and a…

A: Face Value = $1,000Coupon rate = 3.8%No of compounding periods per year = 1Interest per annum = pmt…

Q: The Gab corporation bonds are currently selling in the market. These bonds have 7 years left to…

A: The problem is asking us to calculate the current market price of a bond. The bond has a coupon rate…

Q: Footsteps Co. has a bond outstanding with a coupon rate of 4.8 percent and annual payments. The bond…

A: Bonds are fixed-income assets that serve as a representation of investor loans to borrowers…

Q: Last year Carson Industries issued a 10-year, 13% semiannual coupon bond at its par value of $1,000.…

A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…

Q: Three years ago, you purchased a bond for $974.69. The bond had three years to maturity, a coupon…

A: Calculating the future value of the bonds received and reinvested-

Q: A coupon-paying corporate bond matures in 6 years. The bond pays a coupon of £4 at the end of each…

A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only…

Q: 11. A corporate bond matures in 3 years. The bond has an 8% semiannual coupon and a par value of…

A: A corporate bond has referred a bond issued by a corporation as a type of debt security that get the…

Q: Carla Vista, Inc., has bonds outstanding that will mature in eight years. The bonds have a face…

A: Excl formula:Solution:

Q: Field Industries' outstanding bonds have a 25-year maturity and $1,000 par value. Their nominal…

A: The price of a bond is equal to the sum of the present value of coupon payments and the present…

Q: Suppose your organization has issued a 30 year, 1,000,000 par-value bond with semi-annual coupons of…

A: Bonds are the debt security which is offered or issued by corporates or the government to collect…

Q: Mature in 7 years, have a face value of $1,000, and make an annual coupon interest payment of $60.…

A: P0 = Price of the bond C = Annual coupon amount i.e. $60 r = Yield to maturity i.e. 0.08 n =…

Q: A corporate bond has 18 years to maturity, a face value of $1,000, a coupon rate of 5.5% and pays…

A: The price of a bond is equal to the sum of the present value of coupon payments and the present…

Q: A bond has the following features: Coupon rate of interest (paid annually): 12 percent…

A: Annual remittance refers to an amount that is remitted each year including the principal and…

Q: a. What was the price of this bond when it was issued? The price of this bond when it was issued was…

A: Information Provided: Years to maturity = 10 Face value = $1000 Coupon rate = 10% Yield to Maturity…

Q: Blossom Corp is issuing a 10-year bond with a coupon rate of 13 percent. The interest rate for…

A: Bond valuation entails determining the present value of a bond's future cash flows, which include…

Q: You are interested in purchasing a bond from ExAm Solutions. The bond had a 40 year maturity when it…

A: Total Time Period = 40 years Time Remaining (N) = 30 years or 120 quarters Face Value = 1000 Current…

Q: The company Moderna Ltd has issued bonds at a face value of $1000, coupon rate of 5% paid annually…

A: The bond provides the issuing company access to debt capital from investors instead of traditional…

Q: what is the bond rate of return over the year?

A: Bond Rate of Return: It refers to the gain or loss of a security/investment for a certain period.…

Q: 1. The market price for Alphabet Soup's 7.5% bonds maturing in 10 years are selling for $1,013.03.…

A: A bond is a debt instrument that allows the issuer to raise funds and obligates him to repay the par…

Q: Choice Hotels International originally issued a 10 ⅜ bond in 1992. These $1,000 par value bonds…

A: Here, Par Value of Bond is $1,000 Interest Rate is 10.375% Coupon Rate is 10 ⅜ which is equal to…

Q: ABC company is issuing eight year bond with coupon rate of 6.5% and semi annual coupon payments.If…

A: Given Information: Coupon Rate = 6.5% Required Return = 8% Time Period = 8 years Amount to be raised…

Q: A $1,000 par value bond was issued five years ago at a 8 percent coupon rate. It currently has 25…

A: A bond is a type of loan or debt security issued by governments, municipalities  to raise capital.…

Q: Suppose we have a bond issue currently outstanding that has 25 years left to maturity. The coupon…

A: A bond is a debt instrument that pays coupons and face value as the repayments for the debt that the…

Q: Eight years ago, Over-the-Top Trampolines issued a 15-year bond with a $1,000 par value and a 6…

A: Bond yield The return a bondholder receives from the money invested in a particular bond is called…

Q: A bond is issued with a coupon of 4% paid annually, a maturity of 39 years, and a yield to maturity…

A: Annual coupon amount (C) = $40 (i.e. $1000 * 0.04)Yield to maturity after 1 year (r) = 0.09Maturity…

Q: Mar’s Corporation bonds with par of $1,000 mature in 15 years and pays 6.5% coupon interest. The…

A: Market price of bond can be defined as that price at which bond can be purchased or sold in the bond…

Q: As with most bonds, consider a bond with a face value of $1,000. The bond's maturity is 13 years,…

A: A bond refers to an instrument that is used to raise debt capital for the issuing company from…

Q: A bond is issued with a coupon of 5% paid annually, a maturity of 31 years, and a yield to maturity…

A: A bond refers to an instrument that is used to raise debt capital for the issuing company from…

Q: Sandhill Company is issuing eight-year bonds with a coupon rate of 6.8 percent and semiannual coupon…

A: A bond is a kind of debt security issued by the government and private companies to the public for…

Q: Rick Barr Properties has two bonds outstanding. Bond A was issued 15 years ago with a coupon rate of…

A: Bonds are debt instruments issued by companies.The price of a bond is computed as present value of…

Q: A Treasury bond with a face value of $20,000 and a coupon rate of 5% payable semiannually was bought…

A: Given: Face value =$20000PMT =$200002×5%=500NPER =10×2 years=20 yearsRate of interest =8%2=4%

Q: TT, Inc., has a bond outstanding with a coupon rate of 5.84 percent and quarterly payments. The…

A: Here,Par Value of Face Value of Bond is $1,000Coupon Rate is 5.84%Frequency of Coupon Payment in an…

Q: A $1,000 par value bond was issued five years ago at a 10 percent coupon rate. It currently has 25…

A: The current price of a bond is the discounted value of future cash flows from the bond.

Q: 1. evaluating which of the following would you purchase the following $1,000 face value bond and…

A: Bonds refer to the financial instruments that can be issued by government for raising long term…

Q: A bond has a par value of $1,000, a time to maturity of 15 years, and a coupon rate of 7.80% with…

A: A bond is a kind of debt security issued by the government and private companies for raising funds…

Q: A 15-year Treasury bond is issued with face value of $1,000, paying interest of $46 per year. If…

A: Coupon rate of bond is the % of face value of bond, which is periodically payable at fixed regular…