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How much the investor will pay for the bond

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Question - Help me understand and answer these questions for Lockheed Martin Find the current bond princes - What were the last prices of the bonds (listed in the Last Sale column)?

1. Assume that par value of the bond is $1,000. How much the investor will pay for the bond if he/she purchased the bond at the Price listed in the Last Sale column. Show your work in your project.

2. Assume that par value of the bond is $1,000. Calculate the annual coupon interest payments. Show your work in your project.

3. Assume that par value of the bond is $1,000. Calculate the current yield of the bonds. Show your work in your project.

4. How much is the YTM listed in quotations of the bonds (in the Last Sale column - Yield) (no calculations are required for this question?

a) If you are going to buy a bond issued by lockheed Martin, which bond would you choose? Why?

b) Are these bonds callable? If the bonds that you chose are callable (non-callable), will it change your decision to buy them?

Reference no: EM133030321

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