A bond that matures in 20 years has a $1000 par value .The annual coupon interest rate is 14% and the markets required yield to maturity on a comparable-risk bond is 13%. a)What would be the value of this bond if it paid interest semiannually?

Q: A firm has issued a bond that has a coupon of 11%, semi-annual payments, a required return of 14%,…

A:

Q: A firm has a bond issue with face value of $1,000, a 7% coupon rate, and nine years to maturity. The…

A: The price of the bond (PV) is $1,067.89. The face value of the bond (FV) is $1,000. The maturity…

Q: Suppose that General Motors Acceptance Corporation issued a bond with 10 years until maturity, a…

A: Given that the face value is $1000, coupon rate is 7%, maturity period is 10 years and the yield to…

Q: A zero-coupon bond with 15 years to maturity and a face value of $1000 is priced at $239.39.  What…

A: We have; Years to maturity (N) as 15 years Face Value(FV ) as $1000 Price of Bond (Present Value )…

Q: A bond with 20 years to maturity and a face value of $1000 pays semi-annual coupons at a rate of 9%…

A: Given Information:Par value of bond = $1000 Annual coupon rate of bond = 9% (paid semi annually)…

Q: Showbiz, Inc., has issued eight-year bonds with a coupon of 6.06 percent and semiannual coupon…

A: Market price of the bond is the present value of the future cash flows from the bond at market’s…

Q: A 10 year maturity bond with a coupon rate of 5.5% and face value of $1,000 makes semi- annual…

A: In this question we require to calculate the yield to maturity of a bond if its current selling…

Q: A 30-year bond has a par value of $1,000, a coupon rate of 9% with semiannual coupon payment, and a…

A: The computation of current price of bond as follows: Hence, the current price of bond is $757.58.

Q: A 15-year Treasury bond with 6.7% coupon is currently selling at yield to maturity of 13%. If…

A: Given  The coupon rate is 6.7% yield to maturity is 13% The price of bond one year from now is to be…

Q: What is the yield to maturity of a ten​-year, $5,000 bond with a 4.9​% coupon rate and semiannual…

A: Bond is a debt instrument issued by companies and government. It is a fixed income instrument which…

Q: The duration of a 20-year, 8 percent coupon Treasury bond selling at par is 10.34 years.  The bond’s…

A: Duration of 20 year Treasury bond=10.34 years Interest payment frequency= Semiannually Coupon rate=…

Q: What is the yield to maturity of a nine​-year, $10,000 bond with a 5.2​% coupon rate and…

A: Bonds are the debt security which is offered or issued by the corporates or the governments to…

Q: A 20-year Treasury bond is issued with face value of $1,000, paying interest of $68 per year. If…

A: Coupon rate can be calculated by using this equation. Coupon rate =InterestFace value*100

Q: A coupon bond that pays interest of $60 annually has a par value of $1000, matures in 4 years, and…

A: Working note:

Q: what is the​ bond's current​ price?

A: PV = [ S CFt/(1 + i)t] + [FV / (1 + i)t]

Q: Showbiz, Inc., has issued eight-year bonds with a coupon of 6.76 percent and semiannual coupon…

A: Bond price is calculated by present value of future cash flows. C is semi-annual coupon payment r…

Q: What is the semi-annual coupon bond's nominal yield to maturity (YTM), if the years to maturity is…

A: YTM stands for Yield to maturity which is defined as the aggregate return anticipated on bond when…

Q: A bond has nine years to​ maturity, a $2,000 face​ value, and a 5.5​% coupon rate with annual…

A: Bonds are debt securities issued by Government or other companies, who seek to raise money from…

Q: Assume a $1,000 face value bond has a coupon rate of 9.5% paid semiannually and has an eight-year…

A: Excel Spreadsheet: Excel Workings:

Q: . You are considering a bond with a coupon rate of 10% per annum. Coupons are paid semiannually. The…

A: GIVEN, COUPON RATE = 10% par=$1000 N=5 r=11% coupon = par x coupon rate x 0.5 = $50 m=2

Q: Suppose that General Motors Acceptance Corporation issued a bond with 10 years until​ maturity, a…

A: Coupon amount= 1000*7% =70 YTM=6% Face Value= 1000 Maturity Year Remaining =10-1= 9 years

Q: A 15-year Treasury bond is issued with face value of $1,000, paying interest of $58 per year. If…

A: The coupon rate can be calculated as:

Q: A bond with a 10% semiannual coupon matures in 6 years.  The bond has a price of $1,200.  What is…

A: The computations as follows: Hence, the yield to maturity is 5.98%.

Q: What is the semi-annual coupon bond’s nominal yield to maturity (YTM), if the years to maturity is…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: A bond with 20 years to maturity and a face value of $1000 pays semi-annual coupons at a rate of 9%…

A: Solution:- Bond price means the price at which the bond is currently trading in the market. Price of…

Q: A zero-coupon bond that matures in 15 years is currently selling for $209 per $1,000 par value. What…

A: In the given question we require to compute the yield on zero coupon bond using below details : Time…

Q: You find a zero coupon bond with a par Value $10,000 and 13 Zero Coupon Bonds years to maturity. If…

A: The question gives the following information:

Q: A bond has an annual 8 percent coupon rate, a maturity of 10 years, a face value of $1,000, and…

A: The formula to calculate price of bond is given below,

Q: A bond with 20 years to maturity and a face value of $1000 pays semi-annual coupons at a rate of 9%…

A: Solution:- Bond price means the price at which the bond is currently trading in the market. Price of…

Q: A bond matures in 15 years and pays an 8 percent annual coupon. The bond has a face value of $1,000…

A: Current yield = coupon price /current market price Yield on bond is rate we earn if we held the bond…

Q: Goatboy Corporation bonds are currently priced at $1182.56 and have 25 years until maturity. The…

A: Following informations are given in the question:

Q: Madsen Motors’s bonds have 23 years remaining to maturity. Interestis paid annually, they have a…

A: using financial calculator N (no. of years) =23 I/Y (rate)= 11% PMT (coupon payment) = 1000*9% =-90…

Q: A bond that matures in 9years has a ​$1,000 par value. The annual coupon interest rate is 14 percent…

A: Using excel PV function

Q: A bond has a $1,000 par value, a 12% semiannual coupon, and matures in 4 years.  What is the price…

A: Computations as follows: Hence, the bond price is $1000.00.

Q: Today, a bond has a coupon rate of 12.1%, par value of $1,000, YTM of 8.20%, and semi-annual coupons…

A: The rate of return that represents the current profitability of the bond is known as the current…

Q: Assume that a corporate bond has a par value of P1,000 and 8 years until it matures. This bond also…

A:

Q: A bond with 15 years to maturity, a face value of $1000, pays a coupon rate of 14% APR compounded…

A: Time to maturity is 15 years Face Value is $1000 Coupon rate is 14% Compounded Semi-annually Price…

Q: A bond that matures in13years has a$1,000par value. The annual coupon interest rate is8percent and…

A: Price / Present Value can be calculated using PV function in excel   PV (rate, nper, pmt, [Fv],…

Q: What is the yield to maturity of a eight​-year, $10,000 bond with a 5​% coupon rate and semiannual…

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

Q: Suppose that General Motors Acceptance Corporation issued a bond with 10 years until maturity, a…

A: Calculation of price of the bond:Answer:The price of the bond is $1,068.02 immediately after it…

Q: A bond that matures in eight years, has a coupon rate of 20% and has a maturity value of US$ 200.…

A: We require to calculate the present value of bond in this question. We can calculate the present…

Q: A bond maturing in fifteen years has a a current price of $825.65, yield to maturity of 9.25%, a…

A: The coupon rate is the annual return an investor seek to receive while holding a bond. Coupon rate…

Q: What is the approximate yield to maturity (YTM) of a bond that is currently selling for $1,150 in…

A: Par value  (F)= $ 1000 Coupon rate = 14% Coupon amount (C) = 1000*0.14 = $ 140 Years to maturity (N)…

Q: Lincoln Park Co. has a bond outstanding with a coupon rate of 5.34 percent and semiannual payments.…

A: A bond is a debt instrument that pays interest payments periodically as per the predetermined coupon…

Q: Calculate the value of a bond that matures in 15 years and has a $1,000  par value. The annual…

A: Face Value ( Par Value) = 1000 Time Period = 15 years Coupon = Coupon Rate * Face Value = 11%*1000 =…