What is the bond current market price

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1. Whitford Publishing has 8.5% coupon bonds on the market that have a par value of $1,000 and 10 years left until maturity. Whitford's bonds make semiannual payments and have a nominal YTM equal to 6.96%. What is the bond's current market price?

A. $1,109.63

B. $1,095.46

C. $1,162.54

D. $1,143.12

E. $1,085.64

2. You have just purchased a U.S. Treasury bond for $777.25. No payments will be made until the bond matures 5 years from now, at which time it will be redeemed for $1,000. What interest rate will you earn on this bond?

a. 6.47%

b. 5.17%

c. 7.77%

d. 3.87%

e. 2.57%

Reference no: EM131841906

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