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Create an amortization table for a corporate bond which has a yield to maturity (YTM) of...

  1. Create an amortization table for a corporate bond which has a yield to maturity (YTM) of 3.66% that will last 30 years and has a coupon rate of 4%.

Thank you! I would appreciate the use of excel as well as shown formulas! Thank you!

Solutions

Expert Solution

Let the face value of the bond be $1,000.

Coupon = 4% * 1000 = 40

YTM = 3.66%

N = 30

Price = $1,061.30

First screenshot shows the amortization schedule while the second screenshot shows the formulas in the excel sheet.

Can you please upvote? Thank You :-)

jeff jeffy answered 1 year ago
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