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  3. def inc.'s bonds currently sell for ?776,250. they

DEF Inc.'s bonds currently sell for ?776,250. They have a 6-year maturity, annual interest of...

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Accounting

DEF Inc.'s bonds currently sell for ?776,250. They have a 6-year maturity, annual interest of ?57,375, and a face value of ?675,000. The current yield of the bonds is nearest to A. 7.39% B. 7.76% C. 8.15% D. 8.56% E. 8.98% QUESTION 2: XYZ Co.'s 15-year P1,000 par value bonds have annual coupon rate of 9.5% but pays interest semiannually. If Mr. Wa Is requires 11% nominal yield to maturity on this investment, the maximum price he should pay for the bond is?


On January 1, 2020, ABC Co. issued 15-year, noncallable, 7.5% annual coupon bonds at their par value of P1,000. On January 1, 2021, the market interest rate on these bonds is 5.5%. What price of the bonds on January 1, 2021?


ABC Co.'s bonds currently sell for ?116,500. They mature in 15 years and pay an annual interest of ?9,500. They have a face value of ?100,000. The bond's effective interest rate is?


ABC Co. bonds have a par value of P1,000 but currently sell for P1,280. The bonds pay P135 annual coupon, matures after 15-years, but can be called in 5 years at P1,050. The yield to call (YTC) of the bonds is?


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