You find the following corporate bond quotes. To calculate the number of years until maturity, assume...

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Finance

You find the following corporate bond quotes. To calculate thenumber of years until maturity, assume that it is currently January15, 2016. The bonds have a par value of $2,000.
Xenon Inc. has Coupon: 5.400, Maturity: Jan. 15, 2020, LastPrice: 94.183, Last Yield: ??, EST $ Vol (000s) 57,362.
Kenny Corp. has Coupon: 7.125, Maturity: Jan. 15, 2019, LastPrice: ??, Last Yield: 5.14, EST $ Vol (000s) 48,941.
Williams Co. has Coupon: ??, Maturity: Jan. 15, 2026, LastPrice: 94.735, Last Yield: 6.85, EST $ Vol (000s) 48,302.
What price would you expect to pay for the Kenny Corp. bond? (Donot round intermediate calculations and enter your answer as apercent rounded to 2 decimal places, e.g., 32.16.) Price: $
What is the bond's current yield? (Do not round intermediatecalculations and enter your answer as a percent rounded to 2decimal places, e.g., 32.16.) Current yield: %

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3.9 Ratings (491 Votes)

1Amount expect to pay for the Kenny Corp bond The Price of 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 See Answer

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You find the following corporate bond quotes. To calculate thenumber of years until maturity, assume that it is currently January15, 2016. The bonds have a par value of $2,000.Xenon Inc. has Coupon: 5.400, Maturity: Jan. 15, 2020, LastPrice: 94.183, Last Yield: ??, EST $ Vol (000s) 57,362.Kenny Corp. has Coupon: 7.125, Maturity: Jan. 15, 2019, LastPrice: ??, Last Yield: 5.14, EST $ Vol (000s) 48,941.Williams Co. has Coupon: ??, Maturity: Jan. 15, 2026, LastPrice: 94.735, Last Yield: 6.85, EST $ Vol (000s) 48,302.What price would you expect to pay for the Kenny Corp. bond? (Donot round intermediate calculations and enter your answer as apercent rounded to 2 decimal places, e.g., 32.16.) Price: $What is the bond's current yield? (Do not round intermediatecalculations and enter your answer as a percent rounded to 2decimal places, e.g., 32.16.) Current yield: %