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Determine the current price of the bond in the market

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Question - Suppose you invest in a current bond with an annual coupon of 6% and a remaining maturity of 10 years. The bond has a face value of $ 900 and a market interest rate of 8%. Determine the payment you should make for the bonus.

Mobile Motors Inc. bonds have 12 years remaining to maturity. The interest is paid annually, has a face value of $ 2,000, the coupon interest rate is 7% and an 11% yield to maturity. Determine the current price of the bond in the market.

Cassidy Industries' outstanding bonds have a face value of $ 800, a semi-annual coupon of 8%, 12 years to maturity, and a YTM of 10%. Determine the price of the bond.

Suppose a bond has a face value of $ 3,000, 10 years to maturity, an annual coupon of 7%, and is selling for $ 2,800. Calculate yield to maturity (YTM). Calculate the price 4 years from now, assuming the yield to maturity remains constant.

Suppose Roberto is considering a 12-year bond with a face value of $ 2,000 and a rate of 8% payable semi-annually. Calculate the payment Roberto would have to make if an "effective" annual interest rate of 8.2% were required. Need formulas and explanations in EXCEL.

Reference no: EM133084785

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