An annual bond has a face value of $1,000, a coupon rate of 7.4%, a yield...

An annual bond has a face value of $1,000, a coupon rate of 7.4%, a yield to maturity of 6.2% and has 12 years remaining to maturity. What is the price of the bond?

Expert Solution

Calculations-

Here,
Fv is the future value of bond
rate is the periodic interest rate
nper is no. of periods
pmt is the periodic payments
Pv is the present value of bond
type = 0 if the amount is paid at the end of the year ,1 if it is paid at the beginning.

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jeff jeffy answered 2 years ago

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