In: Finance
Calculate the value of each of the bonds shown in the following table, all of which pay interest semiannually.
Bond Par Value Coupon interest
rate Year to maturity Required stated
annual return
A 500 7% 8 9%
B 1,000 12 20
14
C 500 16 5 13
The value of bond A is
The value of bond B is
The value of bond C is