How can depict relationship between coupon rate and yield

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Question 1: Let's assume that the company has decided to raise fund by issuing bonds and you are planning to invest in the company's bond that has an annual interest payment of 10%. If the maturity period is 12 years, calculate the value of the bond if it yields 5%, 10% and 15% respectively. How can you depict the relationship between the coupon rate, the yield, the par value and the bond's value? Elaborate. Your answer should be as creative as possible. You can illustrate your answer with a table.

Reference no: EM132593388

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