what would be the yield to maturity for a bond with a $70 coupon, interest paid...

what would be the yield to maturity for a bond with a $70 coupon, interest paid semiannually, $1000 maturity value, 12 years to maturity and a quoted price of 104.50 (Actual price of $1045)?

Expert Solution

the yield to maturity = YTM = 0.0655 = 6.46%

I can only answer 1 question at a time, so I am answering only question 1. Please do rate me and mention doubts, if any, in the comments section.

jeff jeffy answered 2 weeks ago

1. What would be the yield to maturity for a bond with a $70 coupon, interest...

1. What would be the yield to maturity for a bond with a $70 coupon, interest paid semiannually, $1000 maturity value, 12 years to maturity and a quoted price of 104.50 (Actual price of $1045)? Remember we are taking the view of the investor, so the price needs to be entered with a negative sign because if we buy the bond, that is cash out of our account 2. If the quoted price fell to 99 (actual price $990), what...

Suppose the coupon rate on a bond is 10% paid annually, the yield to maturity is...

Suppose the coupon rate on a bond is 10% paid annually, the yield to maturity is 12%, the face value of the bond is $1000, the maturity is 2 years, and the price of the bond is $966.20. a. According to his information, you can say that this bond is sold on the market: A) at par value B) at a premium C) at a discount b. Using the information provided above, calculate the duration of the annual coupon bond:...

You paid $889 for a corporate bond with 9.2% yield and five years to maturity. the face value of the bond is $1,000. the bond pays coupon interest

You paid $889 for a corporate bond with 9.2% yield and five years to maturity. the face value of the bond is $1,000. the bond pays coupon interest on quarterly basis. your required rate of return on the bond was 8.9%. compute the bond’s current yield.

Yield to maturity. What is the yield of each of the followingbonds,, if interest (coupon)...

Yield to maturity. What is the yield of each of the following bonds,, if interest (coupon) is paid semiannually?a. What is the yield of the following bond if interest (coupon) is paid semiannually?(Round to two decimal places.)Par ValueCoupon RateYears to MaturityYield to MaturityPrice$5,000.0011%30?$6,030.00$5,000.008%5?$5,000.00$1,000.0012%5?$1,200.00$1,000.006%20?$590.00

Yield to maturity. What is the yield of each of the following bonds, if interest (coupon)...

Yield to maturity. What is the yield of each of the following bonds, if interest (coupon) is paid annually? a. What is the yield of the following bond if interest (coupon) is paid annually? (Round to two decimal places.) Data Table Par Value Coupon Rate Years to Maturity Yield to Maturity Price $1,000.00 10% 30 ? $900.00 $5,000.00 6% 10 ? $5,300.00 $5,000.00 8% 10 ? $5,730.00 $1,000.00 7% 5 ? $800.00

Yield to maturity. What is the yield of each of the following bonds if interest (coupon)...

Yield to maturity. What is the yield of each of the following bonds if interest (coupon) is paid semiannually? (Round to two decimal places.) Par Value Coupon Rate Years to Maturity Yield to Maturity Price $1,000.00 12% 15 ?______ $1,000.00 $5,000.00 11% 10 ?______ $6,010.00 $5,000.00 8% 25 ?______ $7,120.00 $1,000.00 7% 30 ?______ $700.00

What is the coupon rate of an annual coupon bond that has a yield to maturity...

What is the coupon rate of an annual coupon bond that has a yield to maturity of 5.5%, a current price of $949.81, a par value of $1,000 and matures in 15 years? 6.33% 4.70% 3.07% 5.00%

Calculate the yield to maturity on the following bonds: A 9.1 percent coupon (paid semiannually) bond,...

Calculate the yield to maturity on the following bonds: A 9.1 percent coupon (paid semiannually) bond, with a $1,000 face value and 16 years remaining to maturity. The bond is selling at $980. An 8.1 percent coupon (paid quarterly) bond, with a $1,000 face value and 10 years remaining to maturity. The bond is selling at $910. An 11.1 percent coupon (paid annually) bond, with a $1,000 face value and 6 years remaining to maturity. The bond is selling at...

Calculate the yield to maturity on the following bonds: A 9.4 percent coupon (paid semiannually) bond,...

Calculate the yield to maturity on the following bonds: A 9.4 percent coupon (paid semiannually) bond, with a $1,000 face value and 19 years remaining to maturity. The bond is selling at $965. An 8.4 percent coupon (paid quarterly) bond, with a $1,000 face value and 10 years remaining to maturity. The bond is selling at $901. An 11.4 percent coupon (paid annually) bond, with a $1,000 face value and 6 years remaining to maturity. The bond is selling at...

Calculate the yield to maturity on the following bonds: A 8.6 percent coupon (paid semiannually) bond,...

Calculate the yield to maturity on the following bonds: A 8.6 percent coupon (paid semiannually) bond, with a $1,000 face value and 10 years remaining to maturity. The bond is selling at $915. An 5.7 percent coupon (paid quarterly) bond, with a $1,000 face value and 10 years remaining to maturity. The bond is selling at $911. An 7.7 percent coupon (paid annually) bond, with a $1,000 face value and 8 years remaining to maturity. The bond is selling at...

Question