What must be the price of a $1,000 bond with a 6.5% coupon rate, annual coupons, and 20 years to maturity if YTM is 7.8% APR? ..... O A. $870.44 OB. $1,218.62 O C. $696.35 O D. $1,044.53

Q: What is the yield to maturity on a 10-year, 9 percent annual coupon, $1,000 par value bond that…

A: Yield to maturity(YTM) is the rate of return on bond that is obtained if bond is held till maturity.…

Q: What is the holding period yield for an investor who pays $1,050 for a three-year bond with a $1,000…

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

Q: K The yield to maturity of a $1,000 bond with a 7.5% coupon rate, semiannual coupons, and two years…

A: Current price of bond is the price which can be paid for purchase of the bond. It is also called…

Q: A $1,000 par value bond with ten years to maturity has a coupon rate of interest of 10%. If similar…

A: Market Value of the Bond: The market value of a bond is the price at which you can sell it to…

Q: What is the price of a zero coupon bond with $1,000 face value, 8 years to maturity O $822.88…

A: Zero coupon bonds are not paid any coupon payments and par value is paid on maturity of bond period.

Q: What would you expect to pay for a 5% coupon, 12-year maturity, $1,000 face value bond that has a…

A: Bond Price = C∗1−(1+r)-n/r+F/(1+r)nC= Coupon rate = 50r=Yield = 4%n=Years to maturity = 12F=Face…

Q: Please show your work. What is the value of a bond with a par value of $1,000, a coupon of $120…

A: Coupon payment (C) = $120 (semi-annually)Face value (F) = $1,000Yield to Maturity (YTM) = 7.02%…

Q: Question 3: Whatis the purchase price of a $1,000,7.5% bond with semiannual coupons redeemable at…

A: The price of the bond is the willingness of the investor to pay today.

Q: What is the holding period yield for an investor who pays $1,145 for a bond with a $1,000 face value…

A: Holding period yield/return is the total return received from holding the bond investment over the…

Q: What is the yield to maturity of a eight-year, $5,000 bond with a 5.1% coupon rate and semiannual…

A: YTM is expressed as an annual percentage rate (APR) and is calculated using a complex formula that…

Q: What is the current price of a 9%, GHS1,000 annual coupon bond that has eighteen years to maturity…

A: Given data: YTM = 9.631% Years to maturity = 18 years Coupon rate = 9% Par value = GHS 1000

Q: What is the yield to maturity of a(n) five-year, $5,000 bond with a 4.8% coupon rate and semiannual…

A: YTM is expressed as an annual percentage rate (APR) and is calculated using a complex formula that…

Q: What is the coupon rate of a nine-year, $10,000 bond with semiannual coupons and a price of…

A: Price of the bond = Present value of the coupons + Present value of the Par valueHere the coupons…

Q: What is the Macaulay Duration of a 9.5% annual coupon bond with 3 years to maturity, $1,000 face…

A: Duration is a measure of how sensitive a bond's price is to fluctuations in the market interest…

Q: What is the price of a 20-year bond with a FV of $1,000 that pays a 6% coupon (semi-annually)? The…

A: Current price of stock is the price which can be paid for purchase of the stock. It is also called…

Q: The return on a 5 % coupon bond with a face value of 1.000 TL that initially sells for 950 TL and…

A: Bonds are the liabilities of the company which is issued to raise the funds required to finance the…

Q: A$1000-face-value bond has an 8% coupon rate, its current price is $1082, and its price expected to…

A: Answer Current price of Bond = $1,082 Face value of bond = $1,000 Coupon rate = 8% Coupon amount =…

Q: A bond OMR 100 face value, 10 years to maturity, 4% annual coupon rate, and a annual required rate…

A: Bonds are issued in order to raise funds to finance the operations of the company.

Q: What is the price (present value) of a 2 year coupon bond with a face value of $4,500 and a coupon…

A: Face value = $4,500Coupon rate = 2%Years to maturity = 2 yearsYTM = 3%

Q: What is the current value of a bond with a YTM of 6%, a par value of $1000, 12.5 years remaining to…

A: Bond Price is that which is calculated with the help of future benefits from the bond. It includes…

Q: "ou are eyeing an investment in a corporate bond which has a YTM of 11.35%, and a stated rate of…

A: Price of bond is the present value of coupon payments plus present value of par value of the bond.

Q: Consider a zero coupon bond with nominal $1,000 and a term of 1 year. The income tax rate is 30% and…

A: In case of zero coupon bond is born do not have any interest component but these wants provide…

Q: How much should you pay for a 10 % annual coupon bond, with a $1,000 face value, which matures in 3…

A: In the given case, we have provided the annual coupon rate of a bond , it's maturity period and the…

Q: How much would you be willing to pay for a $1,000 par value, 10-year bond with a 12.00% coupon…

A: Compound = Semiannually = 2Face Value = fv = $1000Time = t = 10 * 2 = 20Coupon Rate = c = 12 / 2 =…

Q: 64. You purchased a 10-year 5.75% (annual payment) coupon bond at par yesterday. What will be your…

A: In a typical purchase and sale transaction of a bond, the realized annual compound return needs to…

Q: How much would an investor expect to pay for a $1,000 par value bond with a 9% annual coupon that…

A: A financial instrument that doesn’t affect the ownership of the common shareholders or management of…

Q: What must be the price of a $5,000 bond with a 7% coupon rate, semiannual coupons, and eight years…

A: Current price of bond is the price which can be paid for purchase of the bond. It is also called…

Q: If you purchase a $1000 par value bond for $1048 that has a 5 1/8% coupon rate and 16 years until…

A: AYTM is Annual Yield to maturity is the percentage of return that an investor expects from the…

Q: 7. There is a $1000 bond with 1 year to maturity, a 10% coupon rate, semiannual coupons, and a yie…

A: Price of bond is the present value of coupon payment plus present value of the par value of bond…

Q: Calculate the current market price of a 15%, $1,000 semi-annual coupon bond with 20 years to…

A: Price of bond is sum of present value coupon payment plus present value of par value of bond.

Q: The price of a two-year 10% coupon bond that pays semi-annual interest and with a required return of…

A: Compound = semiannually = 2 Time = t = 2 * 2 = 4 semiannual Coupon rate = 10 / 2 = 5% Required rate…

Q: Suppose you hold a consol bond (a perpetuity bond) that pays an annual coupon of $80 per year and…

A: Annual coupon bond; Existing yield to maturity = 0.05 or 5% New yield to maturity = 0.15 or 15%…

Q: A 25-year, $1,000 par value bond has a 9.0% annual payment coupon. The bond currently sells for…

A: Bonds are debt securities issued by governments, municipalities or companies to raise money. They…

Q: What is the YTM on a 9% 20-year semi-annual coupon bond selling for $1,000 today? a. 5.4% b.…

A: it is a case of finding YTM, based on price and coupon rate. At YTM, the present value of coupon…

Q: What would you pay for a bond that pays an annual coupon of $45, has a face value of $1,000, matures…

A: Face value of bond (FV) = $1000 Annual coupon amount (C) = $45 Years to maturity (n) = 11 Years…

Q: Consider a 25 year bond that pays 4.7% semi-annual coupons. What should the bond sell for if the par…

A: Bonds are debt instruments issued by companies. The issuing company pays periodic coupons or…

Q: Calculate the yield to maturity for a bond that has a $1,000 per value, 15 years to maturity, a 4%…

A:

Q: What must be the price of a $2,000 bond with a 5.9% coupon rate, annual coupons, and 25 years to…

A: "PV" stands for "Present Value." It represents the current worth of a sum of money that is to be…

Q: Consider a 24-year, 8.1% coupon rate, $1,000 face value bond that pays quarterly coupons. How much…

A: Present value of the quarterly coupons and face value at quarterly yield to maturity (YTM) rate is…

Q: What price would you pay for a 5-year, BB bond with a Face Value of $1,000 and a coupon rate of…

A: Variables in the question:Face value=$1000Coupon rate=9.75% (assumed compounded annually)Coupon…

Q: How much will the coupon payments be of a 15-year $10,000 bond with a 6.5% coupon rate and…

A: Coupon rate semi annual= 6.5%/2= 3.25%

Q: You are eyeing an investment in a corporate bond which has a YTM of 14.95%, and a stated rate of…

A: Value of the bond is the present value of the future payments to be received. Future value payments…

Q: 41. What is the purchase price of a bond worth P150 000 with a coupon rate of 7% payable annually 15…

A: Bond Price is the present discounted value of future cash flows generated by bonds.

Q: ou'd like to buy a 25-year, noncallable bond with an annual coupon rate of 8.4% paid semi-annually.…

A: Bond Price-The bond price is calculated as the current value of these bonds' future cash flows:…

Q: What is the yield-to-maturity of a bond with a coupon rate of 9.0%, par value of $2000, 6 years…

A: The annual coupon payment can be calculated using the formula:Coupon Payment = Coupon Rate x Par…

Q: 0% 5.4%

A: Bonds are intimately associated with the term "yield-to-maturity," which is stated as an annualized…

Q: Help me pls, ill rate you pleaseeeee "Compute the yield to maturity on a bond with a $1000 par…

A: Yield to maturity refers to the internal rate of return which is earned by the investor who makes…