What is the yield on a corporate bond with a $1000 Face value purchased at a discount Price of $850, if it pays 7% fixed interest for the duration of the bond?
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What is the yield on a corporate bond with a $1000 Face value purchased at a discount Price of $850, if it pays 7% fixed interest for the duration of the bond?
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- usiness: BUQU 1130: Business Mathematics Page 137 6. [HW] A $25,000, 10% bond redeemable at par on Dec 1, 2028, is purchased on September 25, 2017, to yield 7.6^ compounded semi-annually. Bond interest is payable semi-annually. a) What is the cash price of the bond? b) What is the accrued interest? c) What is the purchase price?What is the yield on a corporate bond with a $1000 face value purchased at a discount price of $875, if it pays 8% fixed interest for the duration of the bond? yield = [ ? ] % Give your answer as a percent rounded to the nearest hundredth. Hint: yield : interest paid price paid Enter at 2003 - 2021 Acellus Corporation. All Rights Reserved. MacBook 80 DD F4 F5 F6 F7 F8 F9 F10 #3 2$ & 3 4 7 9. E T Y U * 00ОС eBook Print References Exercise 5-21 (Algo) Price of a bond [LO5-9, 5-10] On September 30, 2024, the Techno Corporation issued 8% stated rate bonds with a fac amount of $140 million. The bonds mature on September 30, 2044 (20 years). The market rate of interest for similar bonds was 10%. Interest is paid semiannually on March 31 and September 30. Required: Determine the price of the bonds on September 30, 2024. Note: Use tables, Excel, or a financial calculator. Round your final answers to nearest whole dollar amount, not in millions. (FV of $1. PV of $1. FVA of $1. PVA of $1. VAD of $1 and PVAD of $1) Time values are based on: no Cash Flow Interest Principal j= Price of bonds $ $ Amount 40 5% 11,200,000 140,000,000 Present Value 19,887,000
- owv21 Online teachin X signment/takeAssignmentMain.do?invoker &takeAssignmentSessionLocator-assignment-take&inprogress-false еBook Calculator Print Item Present Value of Bonds Payable; Premium Moss Co. issued $105,000 of five-year, 12 % bonds, with interest payable semiannually, at a market (effective) interest rate of 11%. Determine the present value of the bonds payable, using the present value tables in Exhibit 5 and Exhibit 7. Note: Round final answer to the nearest dollar. 6,300 oeqpaay Remember, the selling price of a bond is the sum of the present values of: the face amount of the bonds due at the maturity date interest to be paid on the bonds. The market rate of interest is used to compute the present value of both the face amount and the periodic interest. Pre Check imWork de Up+ min289.acellus.com/StudentFunctions/Interface/acellus_engine.html?ClassID=629670345# view What is the yield on a corporate bond with a $1000 face value purchased at a discount price of $950, if it pays 7% fixed interest for the duration of the bond? yield = [?] % Give your answer as a percent rounded to the nearest hundredth. Hint: yield interest paid price paid 2003-2023 International Academy of Science. All Rights Reserved. Enter Jan 27 ☐Quiz Saved Help Save & Exit Submit Check my work Calculate the purchase price of the $1,000 face value bond using the information given below. (Do not round the intermediate calculations. Round your final answer to 2 decimal places.) Maturity date Dec 15, 2022 Market rate (%) 7.7 Issue date Purchase date Coupon rate (%) 5.65 :00 Dec 15, 1987 June 15, 2ee5 Assume that • Bond interest is paid semiannually. • The bond was originally issued at its face value. Bonds are redeemed at their face value at maturity • Market rates of return are compounded semiannually. Bond price $4
- s.com/StudentFunctions/Interface/acellus_engine.html?ClassiD=1835290918 athGrades K to 12 Acellus - The Scienc. M My Gmail A My Classes O My Drive-Google D.. O Algeb Bonds lus What is the yield on a corporate bond with a $1000 face value purchased at a discount price of $925, if it pays 6% fixed interest for the duration of the bond?. yield = [ ? ] % Give your answer as a percent rounded to the nearest hundredth. Hint: yield = interest paid price paid Enter 2003 - 2021 Acellus Corporation. All Rights Reserved. SUNDStudentFunctions/Interface/acellus_engine.html?ClassID=1459772621# sK to 12 AAcellus-The Scienc.. M My Gmail A My Classes My Drive-Google D. Alget Bonds What is the yield on a corporate bond with a $1000 face value purchased at a discount price of $925, if it pays 7% fixed interest for the duration of the bond? yield = [ ? ] % Give your answer as a percent rounded to the nearest hundredth. Hint: yield = interest paid price paid Enter "lus Corporation. All Rights Reserved.ks Login Module 5- Chap 1 & Office templates & t.. - Chapter 5 i Saved Help Save & Exit On January 1, 2021, Rare Bird Ltd. purchased 15% bonds dated January 1, 2021, with a face amount of $22 million. The bonds mature in 2031 (10 years). For bonds of similar risk and maturity, the market yield is 12%. Interest is paid semiannually on June 30 and December 31. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables pravided.) Required: Determine the price of the bonds at January 1, 2021. (Enter your answer in whole dollars.) Price of the bonds < Prev 13 of 15 Next
- us.com/StudentFunctions/Interface/acellus_engine.html?ClassID=1505869495# o12 Acellus- The Scienc. M My Gmail AMy Classes O My Drive- Google D.. Bonds What is the yield on a corporate bond with a $1000 face value purchased at a discount price of $925, if it pays 8% fixed interest for the duration of the bond?. yield = [ ? ] % Give your answer as a percent rounded to the nearest hundredth. Hint: vield= interest paid price paid Enter eo03- 2021 Acellus Corporation. All Rights Reserved.Examplify SM132 Final Exam Spring 2021 - Tuesday May 4 7PM | SEOE HONG TIME REMAINING EXAM CONTROLS TOOL KIT : FILTER > Question 15 FLAG QUESTION 11 Rating AAA AA A ВВВ 12 Yield 0.80% 1.60% 2.20% 3.20% 13 Given the table above which shows typical yields for 5 year bonds of varying credit ratings, what is the most likely credit rating of your company if your 5-year, semiannual bonds with a face value of $5,000 and a coupon rate of 5% are trading at a price of $5,412.81? 14 15 Answers A - D А A BBB СА D AAA Previous IONS VERSION 2M.6.42:37 Vo) 1 LTE2 ا... 46 ... 22 ] (Related to Checkpoint 9.2) (Yield to maturity) The Saleemi Corporation's $1,000 bonds pay 6 percent interest annually and have 12 years until maturity. You can purchase the bond for $1,055. a. What is the yield to maturity on this bond? b. Should you purchase the bond if the yield to maturity on a comparable-risk bond is 4 percent? ||| a. The yield to maturity on the Saleemi bonds is %. (Round to two decimal places.) = O 41%