What is its price

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Question - A bond that matures in 8 years has a par value of 1,000 and an annual coupon payment of 70; its market interest rate is 9%. What is its price? b. A bond that matures in 12 years has a par value of 1,000 and an annual coupon rate of 10%; the market interest rate is 8%. What is its price? c. Which of those two bonds (problems a & b) is a discount bond and which is a premium bond? Explain. d. You have just purchase an outstanding 15-year bond with a par value of 1,000 d=for 1,145.68. Its annual coupon payment is 75. What is the bond's yield to maturity?

Reference no: EM133055595

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