What would be theamount to pay for the bond

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Reference no: EM131881284

A. Compute the price of a 3.75% coupon (paid semiannually) bond as of today with 9.1621 years (9years plus 2 months= 59 days) to maturity (in 2026) if the yield to maturity is 4% accounting fully forthe present value incorporating the fraction of a year until the next coupon.

B. If the period since the last payment is 144 days (out of a 182 day period), what would be theamount to pay for the bond. Explain the difference with the answer in A.

Can you give me some calculation details?

Reference no: EM131881284

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