Bond pays coupons on a semi-annual basis

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Bond 2 has a coupon rate of 0.0400, a face value of $10,000, for 20 years, pays dividends on a semi-annual basis, and a required yield (YTM) of 0.0400. What is the bonds valuation? What is the bond 2's current yield? The bond will be called in 8 years, and have a call premium of $200. What is bond 1's YTC (yield-to-call)? Remember to round to the nearest basis point. Note that one basis point is equal to 0.0001, which is 1/100thof a percent. Remember that the bond pays coupons on a semi-annual basis. Please answer in EXCEL

Reference no: EM131360758

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