Your company wants to raise $8.5 million by issuing 10-year zero-coupon bonds. If the yield to maturity on bonds will be 4% (annual compounded APR), what total face value amount of bonds must you issue? The total face value amount of bonds that you must issue is $ (Round to the nearest cent.)
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- Your company wants to raise $7.0 million by issuing 20-year zero-coupon bonds. If the yield to maturity on the bonds will be 6% (annual compounded APR), What total face value amount of bonds must you issue? The total face value amount of bonds that you must issue is $_____ (Round to the nearest cent.)Your company wants to raise $8.0 million by issuing 30-year zero-coupon bonds. If the yield to maturity on the bonds will be 5% (annual compounded APR), what total face value amount of bonds must you issue?Your company wants to raise $8.5 million by issuing 10-year zero-coupon bonds. If the yield to maturity on the bonds will be 5% (annual compounded APR), what total face value amount of bonds must you issue? The total face value amount of bonds that you must issue is $. (Round to the nearest cent.) View an example Get more help. Ⓒ % 5 G B 6 Y H MacBook Pro N & 7 U J * 8 M K ( 9 * < 0 XE ✪ Clear all ✔ 1 Check answer delete re
- Your company wants to raise $8.5 million by issuing 10-year zero-coupon bonds. If the yield to maturity on the bonds will be 5% (annual compounded KAPR), what total face value amount of bonds must you issue? ve this 6 F V The total face value amount of bonds that you must issue is $. (Round to the nearest cent.) View an example Get more help. G B.B % 5 T G 1 B A 6 Y H ☐ MacBook Pro N & 7 U J * 8 M Ⓒ K ( 9 H 15 X 1 option Clear all + = Check answer delete returYour company wants to raise $10 million by issuing 20-year zero-coupon bonds. If the yield to maturity on the bonds will be 6% (annually compounded APR), what total principal amount of bonds must you issue?dieH uoisenn Your company wants to raise $9.0 million by issuing 20-year zero-coupon bonds. If the yield to maturity on the bonds will be 4% (annual compounded APR), what total face value amount of bonds must you issue? The total face value amount of bonds that you must issue is $ (Round to the nearest cent.) Enter your answer in the answer box and then click Check Answer.
- Your company currently has $ 1,000 par, 5.75 % coupon bonds with 10 years to maturity and a price of $ 1,070. If you want to issue new 10-year coupon bonds at par, what coupon rate do you need to set? Assume that for both bonds, the next coupon payment is due in exactly six months. You need to set a coupon rate of %Your company currently has $1,000 a par, 5% coupon bonds with 10 years to maturity and a price of$1,085. If you want to issue new 10-year coupon bonds at par, what coupon rate do you need to set? Assume that for both bonds, the next coupon payment is due in exactly six months. You need to set a coupon rate of ______%. (Round to two decimal places.)You will be paying $8,600 a year In tultion expenses at the end of the next two years. Bonds currently yleld 7%. Q. What is the present value and duration of your obligation? b. What maturity zero-coupon bond would Immunize your obligation? c. Suppose you buy a zero-coupon bond with value and duration equal to your obligation. Now suppose that rates immediately Increase to 9%. What happens to your net position, that is, to the difference between the value of the bond and that of your tultion obligation? d. What if rates fall Immediately to 5% ? Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D What is the present value and duration of your obligation? (Do not round intermediate calculations. Round "Present value" to 2 decimal places and "Duration" to 4 decimal places.) \table[[,,,],[Present value,,,,,],[Duration,,years,,,]]
- Pharaoh, Inc. has four-year bonds outstanding that pay a coupon rate of 7.0 percent and make coupon payments semiannually. If these bonds are currently selling at $918.32. What is the yield to maturity that an investor can expect to earn on these bonds? Assume face value is $1000. (Round to 1 decimal) Solve for yield to maturity What is the effective annual yield?Your company currently has $1,000 par, 6.5% coupon bonds with 10 years to maturity and a price of $1,084. If you want to issue new 10-year coupon bonds at par, what coupon rate do you need to set? Assume that for both bonds, the next coupon payment is due in exactly six months. (Round to two decimal places.)For a company, you plan to buy the following bond: Time to maturity, 6 years; coupon rate, 8%; Coupon payment, annual; Market interest rate, 8%; Face value, $1,000. Using Excel, calculate the duration of the bond. Using Excel, calculate the accumulated value of invested payment(or receipt) when you find market interest rate a year later is now 8%, 9%, and 7%, respectively. Using Excel, calculate geometric average rate of return (or realized compound return).