Bonds pay interest semi-annually

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1. The bonds of B&C, Inc. are currently priced at $ 819.62 and have a 13.23 percent coupon. The bonds pay interest semi-annually and mature in 12 years. What is the current yield, in percentage, on these bonds?

2. An AT&T bond has 22 years until maturity, a coupon rate of 15.34 percent, and sells for $1,000. What is the yield to maturity?

3. Two years ago, the Nine-Inch Nails Company issues a $1,000 face value, 20 -year zero coupon bond, with 6.94 yield to maturity. Assuming no change in YTM, what is the current price of the bond?

4. If a bond with a face value of $1,000 and a coupon rate of 8 percent is selling for $970, is the bond's yield to maturity more or less than 8 percent?

5. A bond with a face value of $1,000 has a price of $ 930.73 and a coupon rate of 7.66 %. What is the bond's current yield?

 

6. What is the price of a 20 -year bond with a 7.3 % annual coupon and a yield to maturity of 5.50 %? 8. What is the price of a 24 -year bond with 12.4 % semi-annual coupons and a yield to maturity of 16.88 %?

Reference no: EM131067106

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