c) Calculate the market price of each bond on 23d April 2021 that issued by AAA Ltd., using the data provided in the table below. What is the current total value of minimum application? Time to Maturity 1 Yr U.S. Treasury Bond Yield 0.12% 0.14% 0.20% 2 Yr 3 Yr 4 Yr 0.25% 0.27% 5 Yr 7 Yr 0.46% 10 Yr 0.67% Corporate Bonds Fact Sheet AAA Company Ltd. 23rd April 2021 Issuer Issuing date Bond 25th April 2025 expiration date Face value $ 1000 per bond. Minimum 50 Bonds ($ 50,000) application Floating Interest Rate. The Interest Rate is the sum of the Market Rate plus the Margin. Interest rate Coupon rate (annual) Coupon payment Central Government Bond Yield + 1.86% p.a. Annually (coupon payment is paid on 10th July every year) Market Yield 4.00%

Holt Mcdougal Larson Pre-algebra: Student Edition 2012
1st Edition
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Chapter7: Percents
Section7.7: Simple And Compound Interest
Problem 1E
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QUESTION 1 (continued)
c) Calculate the market price of each bond on 23rd April 2021 that issued by AAA Ltd.,
using the data provided in the table below. What is the current total value of minimum
application?
Time to Maturity
1 Yr
U.S. Treasury Bond Yield
0.12%
2 Yr
0.14%
0.20%
0.25%
3 Yr
4 Yr
5 Yr
0.27%
7 Yr
0.46%
10 Yr
0.67%
Corporate Bonds Fact Sheet
AAA Company Ltd.
23г Арril 2021
Issuer
Issuing date
Bond
25th April 2025
expiration date
Face value
$1000 per bond.
Minimum
50 Bonds ($ 50,000)
application
Floating Interest Rate. The Interest Rate is the sum of the Market Rate
plus the Margin.
Interest rate
Coupon rate
(annual)
Coupon
payment
Central Government Bond Yield + 1.86% p.a.
Annually (coupon payment is paid on 10th July every year)
Market Yield
4.00%
Transcribed Image Text:QUESTION 1 (continued) c) Calculate the market price of each bond on 23rd April 2021 that issued by AAA Ltd., using the data provided in the table below. What is the current total value of minimum application? Time to Maturity 1 Yr U.S. Treasury Bond Yield 0.12% 2 Yr 0.14% 0.20% 0.25% 3 Yr 4 Yr 5 Yr 0.27% 7 Yr 0.46% 10 Yr 0.67% Corporate Bonds Fact Sheet AAA Company Ltd. 23г Арril 2021 Issuer Issuing date Bond 25th April 2025 expiration date Face value $1000 per bond. Minimum 50 Bonds ($ 50,000) application Floating Interest Rate. The Interest Rate is the sum of the Market Rate plus the Margin. Interest rate Coupon rate (annual) Coupon payment Central Government Bond Yield + 1.86% p.a. Annually (coupon payment is paid on 10th July every year) Market Yield 4.00%
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