United Air has a 7.5% coupon 30 year bond (par value = 1,000). Assume that coupon...

United Air has a 7.5% coupon 30 year bond (par value = 1,000). Assume that coupon payments are semi-annual and that the current price is $1040.60. What is the yield-to-maturity of this bond? Be sure to report on an annualized basis and as a raw number - i.e. if your answer is 6.5%, input as 6.5.

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jeff jeffy answered 2 years ago

The WeLoveandKnowThisStuff Company issued a $1,000 par value, 7.5% coupon, 6 year bond. The interest is...

The WeLoveandKnowThisStuff Company issued a $1,000 par value, 7.5% coupon, 6 year bond. The interest is paid semiannually and the market is currently requiring 4.8% on this risk level bond. What is the current value of the bond? SHOW ALL WORK USING THE TI BAII PLUS CALCULATOR!

Altria has a 7% coupon 25 year bond (par value = 1,000). Assume that coupon payments...

Altria has a 7% coupon 25 year bond (par value = 1,000). Assume that coupon payments are semiannual and that the yield-to-maturity is 6.5%. What is the price of this bond?

An 8% coupon, 30-year maturity bond has a par value of $1,000. Suppose the interest rate...

An 8% coupon, 30-year maturity bond has a par value of $1,000. Suppose the interest rate is 6% annually. What is the bond value if it pays annual coupon payments? What is the bond value if it pays semi-annual coupon payments?

A 20-year, semiannual coupon bond sells for $1,043.47. The bond has a par value of $1,000...

A 20-year, semiannual coupon bond sells for $1,043.47. The bond has a par value of $1,000 and a yield to maturity of 6.72 percent. What is the bond's coupon rate?

A 14-year, semiannual coupon bond sells for $974.17. The bond has a par value of $1,000...

A 14-year, semiannual coupon bond sells for $974.17. The bond has a par value of $1,000 and a yield to maturity of 6.54 percent. What is the bond's coupon rate?

A bond has a coupon rate of 7.5% paid semiannually, a par value of $1000, a...

A bond has a coupon rate of 7.5% paid semiannually, a par value of $1000, a maturity of 10 years and a yield to maturity of 9%. You are thinking about buying this bond but are unsure about the actual cash outlay required to do so. The last interest payment was December 13, 2018. If you purchase the bond, the transaction will settle on February 25, 2019. There are 75 days between these two dates. a) Find the clean price...

4. A bond maturing in 15 years has a coupon of 7.5% and a par value...

4. A bond maturing in 15 years has a coupon of 7.5% and a par value of $1,000. If you purchase the bond for $1,145.68: a. What is your current yield? b. What is your yield to maturity?

You are considering a 30-year, $1,000 par value bond. Its coupon rate is 8%, and interest...

You are considering a 30-year, $1,000 par value bond. Its coupon rate is 8%, and interest is paid semiannually. If you require an "effective" annual interest rate (not a nominal rate) of 9.4835%, how much should you be willing to pay for the bond? Do not round intermediate calculations. Round your answer to the nearest cent.

Suppose you buy a 30-year, $1,000 par value bond for $975. The coupon rate is 8%...

Suppose you buy a 30-year, $1,000 par value bond for $975. The coupon rate is 8% and coupon payments are issued annually. You plan to sell the bond in 12 years, at which point you believe the bond's yield to maturity will be 9%. You also forecast a reinvestment rate on the coupons of 7%. What is the annualized compound return on this investment? -6.42% 3.93% 4.99% 7.58% 11.62

AEP has a 25-year, $1,000 par value bond has an 8.5% annual payment coupon. The bond...

AEP has a 25-year, $1,000 par value bond has an 8.5% annual payment coupon. The bond currently sells for $925. If the yield to maturity remains at its current rate, what will the price be 8 years from now? Group of answer choices $901.78 $842.91 $892.55 $934.46 $953.25

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