What is the correct formula for B9? 1 A Bond Valuation 2 Settlement Date 2/15/2018 3 Maturity Date 2/15/2038 4 Coupon Rate 8% 5 Required Return 9% 6 Face Value 1000 7 Frequency 2 8 Basis 0 9 Current Yield ? O=(B4B6)/(PRICE(B2, B3, B4, B5, B6/B6100,B7, B8)/100*B6) =B4/PRICE(B2,B3, B4, B5,B6/B6,B7, B8) =(B4B6)/(PRICE(B2, B3, B4, B5, B6/B6100,B7, B8)*B6) =B4 B6/PRICE(B2, B3, B4, B5.B6/B6/100,B7, B8) =B4B6/PRICE(B2, B3, B4, B5, B6/B6100,B7 B8)/100 B

Economics Today and Tomorrow, Student Edition
1st Edition
ISBN:9780078747663
Author:McGraw-Hill
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Chapter6: Saving And Investing
Section6.2: Investing: Taking Risks With Your Savings
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What is the correct formula for B9?
1
A
Bond Valuation
2 Settlement Date 2/15/2018
3 Maturity Date
2/15/2038
4 Coupon Rate
8%
5 Required Return
9%
6 Face Value
1000
7 Frequency
2
8 Basis
0
9 Current Yield
?
O=(B4B6)/(PRICE(B2, B3, B4, B5, B6/B6100,B7, B8)/100*B6)
=B4/PRICE(B2,B3, B4, B5,B6/B6,B7, B8)
=(B4B6)/(PRICE(B2, B3, B4, B5, B6/B6100,B7, B8)*B6)
=B4 B6/PRICE(B2, B3, B4, B5.B6/B6/100,B7, B8)
=B4B6/PRICE(B2, B3, B4, B5, B6/B6100,B7 B8)/100 B
Transcribed Image Text:What is the correct formula for B9? 1 A Bond Valuation 2 Settlement Date 2/15/2018 3 Maturity Date 2/15/2038 4 Coupon Rate 8% 5 Required Return 9% 6 Face Value 1000 7 Frequency 2 8 Basis 0 9 Current Yield ? O=(B4B6)/(PRICE(B2, B3, B4, B5, B6/B6100,B7, B8)/100*B6) =B4/PRICE(B2,B3, B4, B5,B6/B6,B7, B8) =(B4B6)/(PRICE(B2, B3, B4, B5, B6/B6100,B7, B8)*B6) =B4 B6/PRICE(B2, B3, B4, B5.B6/B6/100,B7, B8) =B4B6/PRICE(B2, B3, B4, B5, B6/B6100,B7 B8)/100 B
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