Question

Question 1  

A 12-year semiannual bond with a coupon rate of 6% has a face value of $1,000 and a YTM of 7%. The price of the bond is

Question 1 options:

	912.85
	914.25
	916.36
	919.71
	920.57

Question 2  

A 4-year discount bond with a face value of $1,000 sells at $915. The YTM of the bond is

Question 2 options:

	2.24%
	2.52%
	2.83%
	3.21%
	3.48%

Question 3 

A 7-year semiannual bond with a face value of $1,000 and a coupon rate of 8% sells at $974. The YTM of the bond is

Question 3 options:

	4.3%
	5.5%
	6.5%
	7.2%
	8.5%

Question 4  

Consider a 20-year semiannual bond with a face value of $1,000, coupon rate of 6.5% and a market price of $1,014.72. The bond is callable in 4 years at the price of $1,050. The yield to call of this bond is

Question 4 options:

	6.4%
	6.8%
	7.2%
	7.6%
	8.2%

Answer 1

as per chegg policy .. please find below answer of first 4 question .. for rest of question please raise new request.

ans 1
	we have to use financial calculator to solve this
	put in calculator
	FV		1000
	PMT	1000*6%/2	30
	I	7%/2	3.50%
	N	12*2	24
	Compute PV	($919.71)
	ans =		$919.71
ans 2
	we have to use financial calculator to solve this
	put in calculator
	FV		1000
	PMT		0
	PV		-915
	N		4
	Compute I	2.246%
	ans =		2.24%
ans 3
	we have to use financial calculator to solve this
	put in calculator
	FV		1000
	PMT	1000*8%/2	40
	PV		($974)
	N		15
	Compute I	4.24%
	YTM = 4.24%*2	8.5%
	Ans =		8.5%
ans 4
	we have to use financial calculator to solve this
	put in calculator
	FV		1050
	PMT	1000*6.5%/2	32.5
	PV		($1,015)
	N		8
	Compute I	3.59%
	YTC = 3.59%*2	7.2%
	Ans =		7.2%