Personal Finance (6th Edition) (Pearson Series in Finance)
Personal Finance (6th Edition) (Pearson Series in Finance)
6th Edition
ISBN: 9780134082561
Author: Jeff Madura
Publisher: PEARSON
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Chapter 8, Problem 5FPP
Summary Introduction

To determine: The amount of interest should pay and the amount of interest will lose.

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Yan Yan Corp. has a $2,000 par value bond outstanding with a coupon rate of 4.7 percent paid semiannually and 13 years to maturity. The yield to maturity of the bond is 5.05 percent. What is the dollar price of the bond?