If a $1,000 par value bond pays a 4% coupon each year, paid semi-annually, how much would each semiannual payment be? A. $50 B. $25 C. $40 D. $20
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A: Correct answer is option (c) -27,571.
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A: Since you have asked multiple questions, we will solve the first question for you. Please ask…
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Q: How much will the coupon payments be of a 10-year $1,000 bond with a 9.5% coupor rate and quarterly…
A: Par value = $1000 Coupon rate = 9.5% Number of coupon payment per year = 4
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A: The following formula will be used:
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A: The answer is mentioned on the next sheet.
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- How much will the coupon payments be of a 10-year $5,000 bond with a 5% coupon rate and semiannual payments? A. $500 OB. $250 OC. $125 OD. $4271. A $1,000 principal value bond costs $35 in quarterly interest and matures in ten years. How much should you be able to pay for this bond if your nominal annual necessary rate of return is 12% with quarterly compounding?a. $ 941.36b. $1,051.25c. $1,115.57d. $1,391.00e. $ 825.4971. A $1,000 principal value bond costs $35 in quarterly interest and matures in ten years. How much should you be able to pay for this bond if your nominal annual necessary rate of return is 12% with quarterly compounding? a. $ 941.36b. $1,051.25c. $1,115.57d. $1,391.00e. $ 825.49
- How much will the coupon payments be of a 25 year $5,000 bond with a 8% coupon rate and semi annual payments? A. $800 B. $400 C. $200 D. $67How much will the coupon payments be of a 20 -year $500 bond with a 10% coupon rate and quarterly payments? A. $12.50 B. $4.17 C. $25.00 D. $50.00What is the present value of a $500,000 12-year Bond with annual interest payments of $40,000 (contract rate of 8%) assuming an effective rate of 10%? You must show work to receive credit for this problem. Paragraph Lato (Recom... v 19px... ✓ T BI U A V => DC + v ...
- How much will the coupon payments be of a 10-year $10,000 bond with a 6.5% coupon rate and semiannual payments? ..... A. $108 В. $325 C. $1,300 D. $650A bond has a face value of 2,000 $ is redeemable in 8 years , and pays interest of 200 $ at the end of each of the 8 years. what should be the maximum purchase price in $ for this bond if MARR = 8 % per year ? Select one: O a. 2,230 O b. 1,850 O c. 2,000 O d. 1,670 O e. 1,487What is the last payment amount of a bond with 1 payment per years, Coupon Rate 8.50% and principal and $514,000 principal and matures in 10 years? Answer with two decimal digits accuracy. Example: 631062.50
- A $9,000 bond matures in 10 years and pays 2 percent interest twice a year. If the bond sold for $7,000, what is the annual actual investment rate? a. IRR = 7.15%% b. IRR = 5.10% c. IRR = 3.58% d. IRR = 6.23%Q4. A long term bond with a face value of $10,000 has a bond interest rate of 6% per year pay: quarterly. What are the amount of the interest payments? (a) $160 (b) $150 (c) $170 (d) $155 (e) your answer (... ......)64. You plan to buy a $1,000 face value 10-year bond that earns $60 in interest every six months. How much should you be able to pay for this bond if your nominal annual necessary rate of return is 10% with semiannual compounding? a. $ 826.31b. $1,086.15c. $ 957.50d. $1,431.49e. $1,124.62