Twenty $1000 bonds redeemable at par bearing 6% coupons payable quarterly are sold eight years...
70.2K
Verified Solution
Link Copied!
Question
Finance
Twenty $1000 bonds redeemable at par bearing 6% coupons payable quarterly are sold eight years before maturity to yield 5.5% compounded annually. What is the purchase price of the bonds? Select one: a. $20 633.46 O b. $13 031.98 O c. $17 969.05 O d. $20 229.82 O e. $19 861.49 A $4500, 8.1% bond with semi-annual coupons redeemable at par in 8 years was purchased at 96.1. What is the approximate yield rate? a. 4.3791% b. 8.7583% c. 10.3614% d. 5.1807%
Answer & Explanation
Solved by verified expert
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: Zin AI - Your personal assistant for all your inquiries!
