A bond presently has a price of $1,030.  The present yield on the bond is 8.00%.  If the yield changes from 8.00% to 8.10%, the price of the bond will go down to $1,020. The duration of this bond is __________.     -10.5     -8.5     9.7     10.5     11

Q: A bond with a 9-year duration is worth $1,080, and its yield to maturity is 8%. If the yield to…

A: Given: PV = 1080 duration = 9  YTM = 8%

Q: A $100,000 bond is currently selling at 96 and the yield on the bond is 7.1%/ What is the interest…

A: The question is based on the calculation of valuation of Bond with concept of market…

Q: Consider a one-year discount bond that has a present value of P1,500. If the rate of discount is 4…

A: Present value (PV) = P1500 Discount rate (r) = 4% Period (n) = 1 Year

Q: A bond has a face value of $10,000 and matures on August 24 2030 with a bond rate of 3.1% compounded…

A: The purchase price of the bond can be calculated as the present value of coupon and principal…

Q: The face value of a bond is P 100,000 and currently and currently selling at P 134,996.00. The bond…

A: Face value (F) = P 100000 Bond price = P 134996 n = 11 years = 22 semiannual periods r = 4.03% per…

Q: Bond X is a premium bond making semiannual payments. The bond pays a coupon rate of 9 percent, has a…

A: Bonds are debt security which is issued by corporates or governments to arrange the funds. Investors…

Q: A five-year bond is issued with a face value of GHC3000. The bond pays coupon semiannually at 10%.…

A: Bond estimating is an experimental matter in the field of monetary instruments. The cost of a bond…

Q: A bond currently has a price of $890. The yield on the bond is 6%. If the yield increases 25 basis…

A: It is given that if yield increase by 0.25% the prices of bonds go down to $870 Computation of % of…

Q: A bond has a face value of $20, 000 and matures in 10 ye ars. The nominal interest rate is 8.5%.…

A: Bonds are the securities which companies sells to investors to raise funds. On maturity, the…

Q: A bond has a 5% coupon rate. The coupon is paid semiannually, and the last coupon was paid 35 days…

A: The computations as follows: Coupon is paid semiannually then; payment is every 182 days.

Q: A bond currently trades at P975 on the secondary market. The bond has 10 years until maturity and…

A: The yield to maturity of the bond can be calculated with the help of RATE function of Excel

Q: A bond with a par value of PhP1,384 with a bond rate of 9% is to be redeemed at PhP1,189 at the end…

A: Par value = P 1384 Coupon rate = 9% Coupon amount = 1384*0.09 = P 124.56 Maturity price = P 1189…

Q: a treasury bond has a quoted bid price of 97.125 and a quoted ask price of 97.255. what is the…

A: Ask price is the price at which the seller of an asset is ready to sell the asset. Whereas the bid…

Q: newly issued bond has a coupon rate of 7 percent and semiannual interest payments. The bonds are…

A: Coupon rate = 7% Price = Par value Therefore Interest rate = Coupon rate Interest rate (R) = 7%…

Q: Assume that a $10,000.00 bond paying 8.5% interest is currently selling at 106. a. What is the…

A: Current selling price of the bond is the present value of the future payments. Future payments…

Q: Suppose the investor’s rate is 9% in the ₱50,000, 7.5% bond with coupons paid semi-annually. The…

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

Q: a bond currently has a price of $1050.  The yield on the bond is 6%.  If the yield increases by 25…

A: % Change in Price = $1050-$1030 /$1050 % Change in Price = $20/$1050 % Change in Price = 1.9047%

Q: A bond that has a face value of $2,000 and coupon rate of 3.60% payable semi-annually was redeemable…

A: Bonds are units of corporate securities that are securitized as tradeable assets and issued by…

Q: A Rio Tinto corporate bond currently sells for $1,450, which gives it a yield to maturity of 7%. Its…

A: The duration of a bond is a measure of the change in bond prices with the change in the interest…

Q: nd has a 11% Coupom Rate, maturity is 12 years and face value is 5,000 $. Yield to Maturity (YTM) of…

A: Value of bond can be calculated from the present value of coupon and present value. Duration of bond…

Q: You have the following information regarding an annual bond. What is the modified duration of this…

A: Modified duration of a bond shows the change in the value of the security as the value of the…

Q: A bond currently has a price of $1,050. The yield on the bond is 6%. If the yield increases by 25…

A:

Q: A bond with 18 years to maturity has an annual interest payment of $35. If the bond sells for its…

A: Time to maturity=18 yearsAnnual interest payment=$35 Assume the bond’s par value is to be $1000.…

Q: Consider a bond with a duration of 8 years having a yield to maturity of 8 percent, and interest…

A: Percentage change in price of the bond= (-)duration* change in yield/( 1+ytm/2)

Q: Consider the four bonds having annual payments as shown in the following table Year Bond A Bond B.…

A: A bond is a debt instrument by which capital is raised by an institution. It is different from a…

Q: Cassidy Industries' circulating bonds have a face value of $800, a semiannual coupon of 8%, 12 years…

A: Face value of bond = $ 800 Coupon rate = 8% Semi annual coupon amount = 800*0.08/2 = $ 32 Years to…

Q: ABC Corporation issued a bond that pays coupons semiannually. It has a 15-year maturity, and the…

A: Price of bond = Present value of bond + Present value of maturity  value Price of bond = [ Interest…

Q: Consider a one-year discount bond that has a present value of P1,500. If the rate of discount is 4…

A: Solution: Present value of bond = P1,500 Discount rate = 4% Period = 1 year

Q: Consider a one-year discount bond that has a present value of P1,500. If the rate of discount is 4…

A: Time value of money (TVM) is used to measure the value of money at different point of time in the…

Q: A 1000 par-value bond with 8% quarterly coupons has payment dates of January 31, April 30, July 31…

A: Accrued interest It is the interest due in between the coupon payments.   Bond price With coupon…

Q: Microhard has issued a bond with the following characteristics:   Par: $1,000 Time to maturity:  12…

A: given infomation  Par: $1,000 Time to maturity:  12 years Coupon rate:  9 percent…

Q: A 7-year, 10% annual-pay bond has a par value of $1,000. If its yield-to-maturity (YTM) is 12.4%,…

A: Here, Par Value of Bond is $1,000 Time to Maturity is 7 years Coupon Rate is 10% Therefore, Coupon…

Q: Odd Co. issued a 12-year bond with 0.08 yield to maturity and a 7% coupon rate. The par value of the…

A: (i) Answer - 3 Discount rate will be used to get the price of the bond 8% Yield to maturity

Q: a bond currently has a price of $1050 the yield on the bond is 6%.  If the yield increases by 25…

A: Modified Duration = Change in Price for 1% change in Yield

Q: A bond is listed in a newspaper at a bid of 105.4844. This quote should be interpreted to mean: O…

A: Bond is defined as the fixed income instruments, which used to represent the loan that used to made…

Q: Assume that a $10,000.00 bond paying 8.5% interest is currently selling at 106. What is the current…

A: In order to find the current price of a bond one has to calculate the present value of a bond.…

Q: Bond A is a premium bond making semiannual payments. The bond has a coupon rate of 7.5%, a YTM of…

A: Thank you for posting questions. Since you have posted multiple questions, as per the guideline I am…

Q: An 8-year bond with par value of $1,000, pays a 7% annual coupon ($70). Market value of the bond is…

A: The required rate of bond holder is yield to maturity of bond which is rate of realized when bond is…

Q: A. The YTM of this bond is below 8%. B. The price of this bond is below its par value. O c. Because…

A: Price of bond depends on yield to MATURITY and coupon rate of bonds.

Q: A bond that matures in 7 years sells for $1020. The bond has a face value of $1000 and a yield to…

A: Current Price of bond is $1020. Face value of Bond is $1000 Yield to maturity is 10.5883% Maturity…

Q: Bond X is a premium bond making semiannual payments. The bond pays a coupon rate of 7 percent, has a…

A: Price of a bond can be caluclated as the sum of present value of all the coupon payments made and…

Q: A Treasury bond that matures in 10 years has a yield of 4.75%. A 10-year corporate bond has a yield…

A: Treasury Bond Yield = 4.75% Corporate Bond Yield = 9.25% Liquidity Risk Premium = 0.60% We know that…

Q: A 20-year, 10% monthly-pay bond has a par value of $1,000. If the price of the bond is $887.14, its…

A: Face value = $1,000 Current price of the bond = $887.14 Time (in years) = 20 years Coupon rate = 10%…

Q: Consider a 12%, 15 year bond that pays interest semiannually, and its current price is $675. What is…

A: Yield to maturity is the rate of return a bondholder will get if receive promise future cash flows…

Q: A bond that matures in 7 years sells for $1,020. The bond has a face value of $1,000 and a yield to…

A: Current yield is the annual yield earned from the value paid at time 0.

Q: A fixed-income analyst, Sean, observes a 7-year, 8% semiannual-pay bond. the face amount is ¥1,000.…

A: A Bond is an instrument that represents the loan that is made by the investor to the company and…

Q: A bond pays annual interest. Its coupon rate is 8%. Its value at maturity is $1,000. It matures in 4…

A: YTM = 6% Par Value = 1000 Time to maturity = 4 years Coupon = Coupon Rate × Par Value = 8%×1000 = 80…