Reference no: EM132838308

1. Calculate the price of a? 20-year 10% coupon bond with a par value of? $1,000. The bond should be price to provide a yield to maturity of? 8%. Interest payments are paid semiannually.

2. A 1?0-year Bond hsa a Price of? $456.39 and a par value of? $1,000 and pays interest semiannually. Calculate the yield to maturity if the coupon rate is? 0%.

3. For the following cash flows calculate the? NPV, net present? value, assuming a cost of capital of? 10%.

?Year Cash Flow

?0 ($100,000)
?1 $55,000
?2 $50,000
?3 $30,000

4. For the following cash flows calculate the? NPV, net present? value, assuming a cost of capital of 10.

?Year Cash Flow

?0 ($100,000)
?1 $15,000
?2 $20,000
?3 $25,000
?4 $50,000
?5 $50,000

6. For the following cash flows calculate the? NPV, net present? value, assuming a cost of capital of? 5%.

?Year Cash Flow
?0 ($100,000)
?1 $90,000
?2 $30,000
?3 $7,500

7. For the following cash flows calculate the? IRR, internal rate of return.

?Year Cash Flow
?0 ($100,000)
?1 $90,000
?2 $30,000
?3 $7,500