A bond, paying semi-annual coupons of 8% per annum, matures in 18 months time, and has a dirty price of $97.51. What is the bond's yield to maturity, with annual compounding? O 10.07% O9.80% O 18.77% O 13.29%
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- Current Yield with Semiannual Payments A bond that matures in 7 years sells for $1,020. The bond has a face value of $1,000 and a yield to maturity of 10.5883%. The bond pays coupons semiannually. What is the bond’s current yield?Bond Yields and Rates of Return A 10-year, 12% semiannual coupon bond with a par value of 1,000 may be called in 4 years at a call price of 1,060. The bond sells for 1,100. (Assume that the bond has just been issued.) a. What is the bonds yield to maturity? b. What is the bonds current yield? c. What is the bonds capital gain or loss yield? d. What is the bonds yield to call?Current Yield for Annual Payments Heath Food Corporations bonds have 7 years remaining to maturity. The bonds have a face value of 1,000 and a yield to maturity of 8%. They pay interest annually and have a 9% coupon rate. What is their current yield?
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- Question What is meant by LIBOR and LIBID. Which is higher? The 6-month and 1-year zero rates are both 10% per annum. For a bond that has a life of 18 months and pays a coupon of 8% per annum (with semiannual payments and one having just been made), the yield is 10.4% per annum. What is the bond’s price? What is the 18-month zero rate? All rates are quoted with semiannual compounding.A bond, paying semi-annual coupons of 1% per annum, matures in 7 months time. The interest rate (with semi-annual compounding) for 1 month is 6.00%, while for 7 months, it is 4.90%. What is the dirty price of the bond?Suppose a 10-year, $1,000 bond with an 8.6% coupon rate and semi-annual coupons is trading for a price of $1,035.22. a. What is the bond's yield to maturity (expressed as an APR with semi-annual compounding)? b. If the bond's yield to maturity changes to 9.3% APR, what will the bond's price be? **** a. What is the bond's yield to maturity (expressed as an APR with semi-annual compounding)? The bond's yield to maturity is%. (Round to two decimal places.)
- The yield curve reveals that the 1-year spot rate is 6.9% and the 2-year spot rate is 9.0%. What is the duration of a 2-year bond with a face value of $1,000.00 making annual coupon payments of 35.6%? Do not report the modified duration. O a. 1.17 O b. 1.28 O c. 1.65 O d. 1.90 O e. 1.05 Of. 1.43 O g. 1.77 O h. 1.53Suppose a 10-year, $1,000 bond with an 8.9% coupon rate and semi-annual coupons is trading for a price of $1,035.97. a. What is the bond's yield to maturity (expressed as an APR with semi-annual compounding)? b. If the bond's yield to maturity changes to 9.6% APR, what will the bond's price be?A 28-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 5.25% (2.625% of face value every six months). The reported yield to maturity is 5.0% (a six-month discount rate of 5.0/2 = 2.5%). a. What is the present value of the bond? b. If the yield to maturity changes to 1%, what will be the present value? c. If the yield to maturity changes to 8%, what will be the present value? d. If the yield to maturity changes to 15%, what will be the present value? (For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places.) a. Present value b. Present value C. Present value d. Present value
