Union Local School District has a bond outstanding with a coupon rate of 2.9 percent paid semiannually and 16 years to maturity. The yield to maturity on this bond is 2.7 percent, and the bond has a par value of $5,000. What is the dollar price of the bond? Input area: Settlement date 1/1/2020 Maturity date 1/1/2036 Coupon rate 2.90% Coupons per year 2 Redemption value (% of par) 100 Yield to maturity 2.70% Par value $5,000 (Use cells A6 to B12 from the given information to complete this question. You must use the built-in Excel function to answer this question. Leave the “Basis” input blank in the function. You may enter a constant as a hard coded value.) Output area: Price (%) Price
Union Local School District has a bond outstanding with a coupon rate of 2.9 percent paid semiannually and 16 years to maturity. The yield to maturity on this bond is 2.7 percent, and the bond has a par value of $5,000. What is the dollar price of the bond? Input area: Settlement date 1/1/2020 Maturity date 1/1/2036 Coupon rate 2.90% Coupons per year 2 Redemption value (% of par) 100 Yield to maturity 2.70% Par value $5,000 (Use cells A6 to B12 from the given information to complete this question. You must use the built-in Excel function to answer this question. Leave the “Basis” input blank in the function. You may enter a constant as a hard coded value.) Output area: Price (%) Price
Chapter6: Fixed-income Securities: Characteristics And Valuation
Section: Chapter Questions
Problem 16P
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Please include the excel formula
Union Local School District has a bond outstanding with a coupon rate of 2.9 percent paid semiannually and 16 years to maturity. The yield to maturity on this bond is 2.7 percent, and the bond has a par value of $5,000. What is the dollar price of the bond? |
Input area: | |
Settlement date | 1/1/2020 |
Maturity date | 1/1/2036 |
Coupon rate | 2.90% |
Coupons per year | 2 |
Redemption value (% of par) | 100 |
Yield to maturity | 2.70% |
Par value | $5,000 |
(Use cells A6 to B12 from the given information to complete this question. You must use the built-in Excel function to answer this question. Leave the “Basis” input blank in the function. You may enter a constant as a hard coded value.) | |
Output area: | |
Price (%) | |
Price |
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