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- How much will the coupon payments be of a 15-year $10,000 bond with a 6.5% coupon rate and semiannual payments? OA. $325 OB. $1,300 OC. $650 OD. $108 SAHow much will the coupon payments be of a 10-year $5,000 bond with a 5% coupon rate and semiannual payments? A. $500 OB. $250 OC. $125 OD. $42How much will the coupon payments be of a 10-year $10,000 bond with a 6.5% coupon rate and semiannual payments? ..... A. $108 В. $325 C. $1,300 D. $650
- Find the term (i.e. in years) of a bond with the following info: Purchase Price: 1048.81 Yield Rate: 4.5% compounded semiannually Coupon Rate: 5% payable semiannually Face Value: 1000 Redemption Value: Par or Face Value Give your answer as a whole number (i.e. X). Note: Coupons are paid at the end of every six month period.How much should you pay for a 10 % annual coupon bond, with a $1,000 face value, which matures in 3 years? Assume a required return of 5%. A. $1136.16 B. $136.16 C. $863.84 D. $1000the following features: • Coupon rate of interest (paid annually): 10 percent • Principal: $1,000 • Term to maturity: 8 years a. What will the holder receive when the bond matures? |-Select- b. If the current rate of interest on comparable debt is 7 percent, what should be the price of this bond? Assume that the bond pays interest annually. Use Appendix B and Appendix D to answer the question. Round your answer to the nearest dollar. Would you expect the firm to call this bond? Why? -Select- v, since the bond is selling for a-Select- v. c. If the bond has a sinking fund that requires the firm to set aside annually with a trustee sufficient funds to retire the entire issue at maturity, how much must the firm remit each year for eight years if the funds earn 7 percent annually and there is $80 million outstanding? Use Appendix C to answer the question. Round your answer to the nearest dollar.
- The $1,000 face value 9% coupon bond pays interest semi-annually. The bond will mature in 3-years. Find the Convexity if it sells for $980 $2184 $1794 $19.94 $1784How much will the coupon payments be of a 20 -year $500 bond with a 10% coupon rate and quarterly payments? A. $12.50 B. $4.17 C. $25.00 D. $50.00If a $1,000 par value bond pays a 4% coupon each year, paid semi-annually, how much would each semiannual payment be? A. $50 B. $25 C. $40 D. $20
- Given the following information on a bond, Par value: $1000 Interest rate: 6% Coupon rate: 8% paid semiannually Years to maturity: 15 years, what is the expected price at the end of year 5? Question 7Select one: a. 1145.32 b. 1152.98 c. 1148.77 d. 1141.97 please show math and explanation..A 4-year 5% $4000 bond has annual coupons and a redemption amount of $3920. Find the modified convexity (compounded annually) and the Macaulay convexity of this bond at an annual interest rate of 4%. Round your answers to three decimal places. (a) C(0.04,1) = (b) C(0.04, infinity) = -- years yearsUse the following information to answer questions 17 - 27. A 2-year 10% annual coupon bond yields 5%. Compute the Macaulay duration of the bond. Fill in the following table for $1000 face value. Year Cash Flow 1 2 #17 #21 Column Sum: MacauleyDuration PV of Cash Flow (6 decimals) = #18 #22 #25 #27 Weight frac (5 decimals) #19 #23 1.0000 years (4 decimals) Weight x Year (4 decimals) #20 #24 #26
