Fnd the value of bond if markets required yield to

Reference no: EM13476727

A bond of ABC Corp. pays $100.00 in annual interest, with a $1,000.00 par value. The bonds mature in 30 years. The markets required yield to maturity on a comparable risk bond is 9%.

a) What is the value of the bond if the market's required yield to maturity on a comparable risk bond is 9%. $_________.

b)What is the value of the bond if the market's required yield to maturity on a comparable risk bond increases to 14%. $_________ and if bonds required yield to maturity decreases to 4%.$______.

Reference no: EM13476727

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