Ryan buys a 10-year semi-annual coupon 1000 par value bond to yield 6% convertible semi-annually. Assuming the bond is redeemed at par, the amount of premium amortized in the 6th coupon is 9.75. Calculate the original price of Ryan's bond. 1,093 875 903 1,226 1,024

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
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Ryan buys a 10-year semi-annual coupon 1000 par value bond to yield
6% convertible semi-annually. Assuming the bond is redeemed at par,
the amount of premium amortized in the 6th coupon is 9.75. Calculate
the original price of Ryan's bond.
1,093
875
903
1,226
1,024
Transcribed Image Text:Ryan buys a 10-year semi-annual coupon 1000 par value bond to yield 6% convertible semi-annually. Assuming the bond is redeemed at par, the amount of premium amortized in the 6th coupon is 9.75. Calculate the original price of Ryan's bond. 1,093 875 903 1,226 1,024
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