\table[[Amount issued,$600 million],[offered,Issued at a price of 99.592% plus accrued interest (proceeds to company],[Interest,98.717% ) through Citi and JPMorgan],[Maturity,5.85% per annum payable June 15 and December 15.],[Denomination, face value, or principal,June 15,2041]] a. The AMAT bond was issued on June 8,2011 , at 99.592%. How much would you have to pay to buy one bond delivered on June 15 ? Don't forget to include accrued interest. Assume a 365-day year. Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 3 decimal places. b-1. When is the first interest payment on the bond? b-2. What is the total dollar amount of the payment? Note: Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places. c-1. On what date do the bonds finally mature? c-2. What is the amount to be paid on each bond at maturity? Note: Do not round intermediate calculations. Enter your answers in dollars, rather than in millions of dollars, rounded to 2 decimal places. \table[[a. Amount to be paid,,% Amount issuedOfferedInterestdMaturitycesDenomination, face value, or principal$ 600 millionIssued at a price of 99.592 % plus accrued interest (proceeds to company98.717%) through Citi and JPMorgan5.85% per annum payable June 15 and December 15.June 15, 2041$1,000a. The AMAT bond was issued on June 8, 2011, at 99.592%. How much would you have to pay to buy one bond delivered on June 15?Don't forget to include accrued interest. Assume a 365-day year.Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 3 decimal places.b-1. When is the first interest payment on the bond?b-2. What is the total dollar amount of the payment?Note: Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.c-1. On what date do the bonds finally mature?c-2. What is the amount to be paid on each bond at maturity?Note: Do not round intermediate calculations. Enter your answers in dollars, rather than in millions of dollars, rounded to 2decimal places.a. Amount to be paidb-1. First interest due on%b-2. Amount of paymentc-1. Maturity datec-2. Amount to be paid on maturitymillion

a. Total Price to Buy One Bond: We calculated the total price by adding the issue price to the…

Answered: Amount issued Offered Interest d…

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

ChapterMB: Model-building Problems

Section: Chapter Questions

Problem 13M

See similar textbooks

Related questions

Question

\table[[Amount issued,$600 million],[offered,Issued at a price of 99.592% plus accrued interest (proceeds to company],[Interest,98.717% ) through Citi and JPMorgan],[Maturity,5.85% per annum payable June 15 and December 15.],[Denomination, face value, or principal,June 15,2041]] a. The AMAT bond was issued on June 8,2011 , at 99.592%. How much would you have to pay to buy one bond delivered on June 15 ? Don't forget to include accrued interest. Assume a 365-day year. Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 3 decimal places. b-1. When is the first interest payment on the bond? b-2. What is the total dollar amount of the payment? Note: Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places. c-1. On what date do the bonds finally mature? c-2. What is the amount to be paid on each bond at maturity? Note: Do not round intermediate calculations. Enter your answers in dollars, rather than in millions of dollars, rounded to 2 decimal places. \table[[a. Amount to be paid,,%