What is the list price of the bond on the settlement date

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1. Calculate the price of the bond for a market interest rate of 3% per half year. Compare the capital gains for the interest rate decline to the losses incurred when the rate increases to 5%.

2. A bond with a settlement date of April 30, 2013 and a maturity date of May 15, 2021 has a coupon rate of 6.7%. (bond equivalent yield, semiannual compounding), If the yield to maturity of the bond is 6.33%, what is the list price of the bond on the settlement date? What is the accrued interest on the bond? What is the invoice price of the bond?

Reference no: EM131310066

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