What is the current price of the bond

Reference no: EM131419338

Valuing Bonds 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 6.4 percent paid annually. If the yield to maturity is 7.6 percent, what is the current price of the bond?

Reference no: EM131419338

Questions Cloud

How much of joe social security benefits : Joe and Kathy will file a joint tax return for 2016. Joe retired December 15,2016 and began to recieve social security benefits in 2016 which totaled $7,200 for 2016. Kathy has not worked for several years and is not yet recieving social security ben..

What must the coupon rate be on these bonds : Coupon Rates Hollin Corporation has bonds on the market with 13.5 years to maturity, a YTM of 7.3 percent, and a current price of $1,080. The bonds make semiannual payments. What must the coupon rate be on these bonds?

Leadership-the future to improve your negotiation skills : Leadership: Which influencing tactics do you tend to use the most and least? How will you change and develop your ability to influence using influencing tactics? How would you rate your negotiation skills? What could you do differently in the future ..

Differentiate between formal and informal communication : Differentiate between formal and informal communication and how each affects performance. Describe techniques and behaviors to overcome communication barriers and provide effective feedback. Describe assertiveness techniques that can be used to impro..

What is the current price of the bond : If the yield to maturity is 7.6 percent, what is the current price of the bond?

Create a four blocks lesson plan : Select a grade level and create a Four Blocks lesson plan. Make sure to include all four blocks as identified on pp. 50-51. Design the Four Blocks around a specific text and/or topic.

What effect would the neurotoxin have on function of neurons : Puffer fish poison blocks voltage-gated sodium channels like a cork. What effect would this neurotoxin have on the function of neurons? Which of following is not true regarding the establishment of a neuron's resting potential?

Identify materials necessary to complete the activity : Designing appropriate learning activities for students is at the heart of effective teaching. In this assignment you will design a learning activity (or combination of activities) using strategies

What is the potential down side to this strategy : In a recent study on stress and coping, researchers found that people facing a terrible problem (ex. taking care of a terminally ill family member) were better off if they could take a psychological “time out” by allowing themselves time to enjoy ord..

User Account

All Pages