1) What is the coupon rate of a nine year, $10,000 bond with semiannual coupons...
60.1K
Verified Solution
Link Copied!
Question
Finance
1) What is the coupon rate of a nine year, $10,000 bond with semiannual coupons and a price of $8,666.52, if it has a yield to maturity of 7%?
2) A $1,000 bond with a coupon rate of6.1 % paid semiannually has nine years to maturity and a yield to maturity of 7.5 %. If interest rates rise and the yield to maturity increases to 7.8 %, what will happen to the price of the bond?
A) rise by $18.04
B. fall by $18.04
C. fall by $21.65
D. The price of the bond will not change.
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.