What is the bond market price

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Q1. A $20,000 par value bond has a coupon rate of 4.5%. The bond matures in 10 years. What is the bond's market price assuming 4.5% YTM?

Q2. Company has issued a bond with par value of € 500,000 and coupon rate of 12 percent paid annually. The bond matures in 3 years. What is the current value of this bond if the required rate of return is 21 percent?

Q3. Company has outstanding issue of zero-coupon bond with par value of € 50,000. The bond was issued 20 years ago and has 8 years to maturity. What is the current value of the bond assuming 17 percent rate of return?

Reference no: EM133088351

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