A
coupon bond that pays interest annually is selling at a par value of
$1,000, matures in five years, and has a coupon rate of 9%. The yield
to maturity on this bond is ________
A: 8.0%.
B: 8.3%.
C: 9.0%.
D: 10.0%.
E: None
of the options are correct.
coupon bond that pays interest annually is selling at a par value of
$1,000, matures in five years, and has a coupon rate of 9%. The yield
to maturity on this bond is ________
A: 8.0%.
B: 8.3%.
C: 9.0%.
D: 10.0%.
E: None
of the options are correct.
举一反三
- A<br/>coupon bond that pays interest semi-annually has a par value of<br/>$1,000, matures in seven years, and has a yield to maturity of 11%.<br/>The intrinsic value of the bond today will be ________ if the<br/>coupon rate is 8.8%. A: $922.78 B: $894.51 C: $1,075.80 D: $1,077.20 E: None<br/>of the options are correct.
- A<br/>coupon bond that pays interest annually has a par value of $1,000,<br/>matures in seven years, and has a yield to maturity of 9.3%. The<br/>intrinsic value of the bond today will be ________ if the coupon rate<br/>is 8.5%. A: $712.99 B: $960.14 C: $1,123.01 D: $886.28 E: $1,000.00
- If the annual market discount rate is 6%, the value of a three-year bond that has a 7% coupon rate, has a maturity (par) value of $1,000, and pays interest annually is closest to: A: $1,026.73. B: $1,049.17. C: $973.76.
- Ceteris<br/>paribus, the duration of a bond is negatively correlated with the<br/>bond's ________ A: time<br/>to maturity. B: coupon<br/>rate. C: yield<br/>to maturity. D: coupon<br/>rate and yield to maturity. E: None<br/>of the options are correct.
- A portfolio manager is considering the purchase of a bond with a 5.5% coupon rate that pays interest annually and matures in three years. If the required rate of return on the bond is 5%, the price of the bond per 100 of par value is closest to