What is the value of my bond that has a coupon rate of 11% (paid
semi-annually)...
What is the value of my bond that has a coupon rate of 11% (paid
semi-annually) a maturity of 3 years and a required return of 10%
annually (APR, compounded semi-annually)?
A corporate bond issued by GE Capital has 3% coupon rate (paid
semi-annually), a face
value of $1,000, and matures in 3 years. If the bond is priced
to yield 2.213% (annualized),
what is the bond's current price?
Suppose you are reviewing a bond that has a 10% coupon rate paid
semi-annually and a face value of $1,000. There are 20 years to
maturity, and the yield to maturity is 8%. What is the price of
this bond?
Consider a bond with 10,000 USD par value, 8% coupon rate paid
semi annually and 10 years to maturity. Assuming a 10% required
return, answer the following questions:
Find the PV of the bond
Find the PV of the bond given it’s a Zero-Coupon Bond.
What is the bond’s price elasticity if the required return
changed to 12%?
Calculate the duration of the bond.
What is the modified duration at an 8% yield?
What is the percentage change in bond’s...
A $5,000 bond with a
coupon rate of 6.4% paid semi-annually has four years to maturity
and a yield to maturity of 6.2%. If interest rates fall and the
yield to maturity decreases by 0.8%, what will happen to the price
of the bond?
a.
Fall by $40.49.
b.
Rise by $142.78.
c.
Rise by $84.46.
d.
Fall by $98.64.
e.
None of the answers
are correct.
A $1,000 bond with a coupon rate of 5% paid semi-annually has 7
years to maturity and a yield to maturity of 9%. The price of the
bond is closest to $________. Input your
answer without the $ sign and round your answer to
two decimal places.
A $1,000 bond with a coupon rate of 5% paid semi-annually has 10
years to maturity and a yield to maturity of 7%. The price of the
bond is closest to $________. Input your
answer without the $ sign and round your answer to
two decimal places.
A $1,000 bond with a coupon rate of 5% paid semi-annually has 8
years to maturity and a yield to maturity of 9%. The price of the
bond is closest to $________. Input your answer without the $ sign
and round your answer to two decimal places.
5. A $1,000 bond with a coupon rate of 3% paid semi-annually has
9 years to maturity and a yield to maturity of 10%. The price of
the bond is closest to $________.
You purchase a bond today for $900 that has a 5% coupon rate,
paid semi-annually, and has 10 years to maturity. The face value of
the bond is
$1,000. One year later you sell the bond for $1,020
a) Calculate the Holding Period Return (HPR) (in %) over the one
year that you held the bond. (8)
b) Do you think interest rates increased or decreased over the
one year period that you held the bond? Explain briefly. (5)
3. A bond with a face value of $100,000 and coupon interest paid
semi-annually at an annual rate of 7.50% per annum was issued on 8
May 2013 for 4 years. Similar bonds are now selling at a
yield-to-maturity of 7.41% per annum. Based on the most recent and
next coupon dates, work out the accrued interest on the settlement
date (20-Jan-2015). Please use Actual/Actual as the interest rate
basis and leave the Calc_method as its default.