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  3. 1. what is the value of a $1,000 par bond with a 5

1. What is the value of a $1,000 par bond with a 5% coupon (paid...

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Finance

1. What is the value of a $1,000 par bond with a 5% coupon (paid semiannually) and 17 years to maturity if its yield is 3.7%? Round to the nearest $0.01, drop the $ symbol.

2. Determine whether the bonds below would sell above, at, or below par value.

  • a 4% coupon and a 3% yield

    above

  • a 2.75% coupon and a 1.88% yield

    below

  • a 5.125% coupon and a 5.125% yield

    at

  • a 7% coupon and an 11% yield

    below

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