Calculate the t-bill market price today

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Q1. Calculate the market bond price B given that: The bond's maturity is 20years; the CR is 5%; the face (par) value is $1,000, the yield to maturity is 6% and the bond pays the coupons semiannually.

Q2. Use the Bond's parameters given in Q5 to calculate the market value of this bond if it does not pay any coupons during its life until maturity.

Q3. Suppose that the a bond with the parameters given in Q5 is a T-bill that instead of maturity in 20 years, matures in 9 months. During these 9 months the T-bill does not pay any coupon. Calculate the T-Bill market price today.

Q4. Suppose that the a bond with the parameters given in Q5 is a consul. Calculate its current market price.

Reference no: EM133072808

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