CORPORATE FINANCE- ACCESS >C<
12th Edition
ISBN: 9781307447248
Author: Ross
Publisher: MCG/CREATE
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Bond A pays semi-annual coupons, pays its next coupon in 6 months, matures in 10 years, and has a face value of $1000. Bond B pays
annual coupons, pays its next coupon in 1 year, matures in 12 years, and has a face value of $1000. The two bonds have the same
YTM. Bond A has a price of $1,119.81 and a coupon rate of 20.80 percent. Bond B has a coupon rate of 19.76 percent. What is the price
of bond B?
Input instructions: Round your answer to the nearest cent (so 2 decimal places).
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Bond A pays annual coupons, pays its next coupon in 1 year, matures in 17 years, and has a face value of $1000. Bond B pays semi-
annual coupons, pays its next coupon in 6 months, matures in 8 years, and has a face value of $1000. The two bonds have the same
YTM. Bond A has a price of $1,254.9 and a coupon rate of 9.54 percent. Bond B has a coupon rate of 9.24 percent. What is the price of
bond B?
Input instructions: Round your answer to the nearest cent (so 2 decimal places).
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