What is the current bond price

Assignment Help Financial Management

Reference no: EM131300070

Sqeekers Co. issued 13-year bonds a year ago at a coupon rate of 7.3 percent. The bonds make semiannual payments and have a par value of $1,000. If the YTM on these bonds is 5.6 percent, what is the current bond price? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.) Current bond price $

Reference no: EM131300070

Questions Cloud

Calculate cost of preferred stock and after-tax cost of debt : Calculation of individual costs and WACC Dillon Labs has asked its financial manager to measure the cost of each specific type of capital as well as the weighted average cost of capital. It is expected that to attract buyers, new common stock must be..

What is the future value and present value : What is the future value of $10,000 invested at 10% for 10 years with continuous compounding? What is the present value of a $10,000 investment received in five years at 10 percent compounded semiannually? What is the present value of $10,000 receive..

What would be total return of bond in percentage and dollars : A 8.7 percent coupon bond with 19 years left to maturity is priced to offer a 6.85 percent yield to maturity. You believe that in one year, the yield to maturity will be 7.5 percent. What would be the total return of the bond in dollars? What would b..

Compute the effective sales price under these payment terms : You received an offer to purchase property that includes the terms: sales price of $650,000, payable as follows: $50,000 at closing, and $200,000 payable one year after closing, two years after closing and three years afterward. Compute the effective..

What is the current bond price : Sqeekers Co. issued 13-year bonds a year ago at a coupon rate of 7.3 percent. The bonds make semiannual payments and have a par value of $1,000. If the YTM on these bonds is 5.6 percent, what is the current bond price?

Compute the total prize using each payment option : You won the lottery that will pay your choice of $1,000,000 per year or a lump sum equal to the present value of $20,000,000 discounted at 5%. Compute the total prize using each payment option. Indicate your choice of payment option and show calculat..

Calculate the expected return over the four-year period : Portfolio analysis You have been given the expected return data shown in the first table on three assets—F, G, and H—over the period 2016–2019. Calculate the expected return over the 4-year period for each of the three alternatives. Calculate the sta..

Corporate bond quotes : You find the following corporate bond quotes. To calculate the number of years until maturity, assume that it is currently January 15, 2016. The bonds have a par value of $2,000. Company (Ticker) Coupon Maturity Last Price Last Yield EST $ Vol (000’s..

Offering certificates of deposit yielding : You are saving to buy a $193,000 house. There are two competing banks in your area, both offering certificates of deposit yielding 7.8 percent. How long will it take your initial $110,000 investment to reach the desired level at First Bank, which pay..

User Account

All Pages