What was the purchase price of the bond

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Question -

A bond with a $1,000 face value and 14 years remaining until maturity pays a coupon rate of 7.75% compounded semi-annually. Calculate the yield to maturity if the bond is priced at $900.

A $3,000 bond with a 3% coupon compounded semi-annually is currently priced to yield 9% with 17 years remaining to maturity. What is the yield to maturity six years from now if the bond price rises $225 at that time?

A $80,000, 7.50% bond redeemable at par, with annual coupon payments, is purchased 11 years before maturity to yield 5.50% compounded annually.

a. What was the purchase price of the bond? Round to the nearest cent

b. What was the amount of discount or premium on the bond?

A $15,000 bond with a coupon rate of 6.50% is purchased 7.5 years before maturity when the yield rate was 8.00% compounded semi-annually. The bond coupons are paid every six months. Calculate the purchase price of the bond.

A $2,500,000 issue of a 30-year bond, redeemable at par, offers 8.50% coupons payable semi-annually. The bond yields 4.00% compounded monthly

a. What was the purchase price of the bond, if it was purchased 25 years before maturity? Round to the nearest cent.

b. What was the amount of discount or premium on the bond?

Reference no: EM132924476

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