Expound on the determinants of default risk

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1. Expound on the determinants of default risk.

2. Calculate the YTM on a 20 year, 8% coupon bond that is selling for $1,180 and the par value is $1,000. Show which values go in financial calculator.

3. Compute the value of a bond that matures in 10 years and pays interest annually. The coupon rate is 11% and the face amount is $1,000. Assume a discount rate of 12%.

solve and show what values to put in each key for financial calculator

Reference no: EM131888561

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