What is the current price of bond

Assignment Help Financial Management

Reference no: EM132006368

Even though most corporate bonds in the United States make coupon payments semiannually, bonds issued elsewhere often have annual coupon payments. Suppose a German company issues a bond with a par value of €1,000, 25 years to maturity, and a coupon rate of 7.1 percent paid annually.

If the yield to maturity is 8.2 percent, what is the current price of the bond? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM132006368

Questions Cloud

Determine the credibility of a source located online : How might you determine the credibility, reliability, and validity of a source located online? How do you know if information in a source is credible.

Summary of the market analysis and anticipated consumer need : What you confirmed? What consequence has this exercise to your professional career?

Exception of type parseexception as a try block : Organize the code capable of throwing an exception of type ParseException as a try block.

Derive algebraically the quantities that should be produced : Derive algebraically the quantities that should be produced and sold, and the prices that should be charged, in each market

What is the current price of bond : If the yield to maturity is 8.2 percent, what is the current price of the bond?

What are the major sections of a journal article : What are the major sections of a journal article? Why is this kind of organization important? The response must be typed, single spaced.

Calculate the npv of the decision to grant credit : Solar Engines manufactures solar engines for tractor-trailers. Calculate the NPV of the decision to grant credit.

Annual cost for the malware protection : Which of the following SLE values warrants a recommendation against purchasing the malware protection? The answer choices are below and please.

What is the standard deviation of the portfolio : If you invest $2,000 and $8,000 in Stock A and Stock B respectively, what is the standard deviation of the portfolio?

User Account

All Pages