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all of three question. using hand writing 1. For a certain bond...

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Finance

imageall of three question. using hand writing
1. For a certain bond FC $25000, Fr $500 and n 20 (a ten year bond with semi-annual coupons). Suppose further that the bond is callable after the 16th coupon is paid, but if the bond is redeemed early, the redemption price is $25200. What price guarantees a return of i(2) 0.036? 2, what price guarantees a yield of 1(2) 0.044? 3. Suppose the bond is bought to guarantee a yield of i(2) - 0.036 and sold immediately after the 8th coupon is received to investor who prices the bond to guarantee a return of i(2) 0.038. Find this price. What return did the first investor actually get. 1. For a certain bond FC $25000, Fr $500 and n 20 (a ten year bond with semi-annual coupons). Suppose further that the bond is callable after the 16th coupon is paid, but if the bond is redeemed early, the redemption price is $25200. What price guarantees a return of i(2) 0.036? 2, what price guarantees a yield of 1(2) 0.044? 3. Suppose the bond is bought to guarantee a yield of i(2) - 0.036 and sold immediately after the 8th coupon is received to investor who prices the bond to guarantee a return of i(2) 0.038. Find this price. What return did the first investor actually get

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