Bond valuationlong dash—Semiannual interest???Calculate the value of each of the bonds shown in the following? table, all of...

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Finance

Bond
valuationlong dash—Semiannual
interest???Calculate the value of each of the bonds shown in thefollowing? table, all of which pay interest semiannually.???(Clickon the icon located on the? top-right corner of the data tablebelow in order to copy its contents into a? spreadsheet.)
Bond
Par Value
Coupon
interest rate
Years to
maturity
Required stated
annual return
Copy to Clipboard +
Open in Excel +
A
?$1 comma 0001,000
88
?%
1111
99
?%
B
500500
1212
2020
1111
C
100100
1414
44
1414
The value of bond A is
?$931.08931.08 .
? (Round to the nearest? cent.)The value of bond B is
?$540.12540.12 .
?(Round to the nearest? cent.)The value of bond C is
?$nothing .
?(Round to the nearest? cent.)

Answer & Explanation Solved by verified expert

3.7 Ratings (683 Votes)

The Value of BondC The Value the Bond is the Present Value of the Coupon Payments plus the Present Value of the Face ValuePar Value The Price of the Bond is normally calculated either by See Answer

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Bondvaluationlong dash—Semiannualinterest???Calculate the value of each of the bonds shown in thefollowing? table, all of which pay interest semiannually.???(Clickon the icon located on the? top-right corner of the data tablebelow in order to copy its contents into a? spreadsheet.)BondPar ValueCouponinterest rateYears tomaturityRequired statedannual returnCopy to Clipboard+Open in Excel+A?$1 comma 0001,00088?%111199?%B500500121220201111C1001001414441414The value of bond A is?$931.08931.08 .? (Round to the nearest? cent.)The value of bond B is?$540.12540.12 .?(Round to the nearest? cent.)The value of bond C is?$nothing .?(Round to the nearest? cent.)