Based on quarterly compounding, what would be yield-to-maturity (YTM) be on a 12-year, zero-coupon, $1,000 par value bond that’s currently trading at $456.78? A. 2.2550% B. 3.2915% C. 4.5142% D. 6.5832%
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Based on quarterly compounding, what would be yield-to-maturity (YTM) be on a 12-year, zero-coupon, $1,000 par
2.2550%
3.2915%
4.5142%
6.5832%
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- To calculate the number of years until maturity, assume that it is currently May 2022. All of the bonds have a $1,000 par value and pay semiannual coupons. Rate ?? 3.850 4.125 Maturity Month/Year May 29 May 32 May 38 Coupon rate Bid 102.725 103.168 ?? Asked 102.915 103.823 ?? % Change Ask Yield +.3204 +.4513 +.6821 In the above table, find the Treasury bond that matures in May 2029. What is the coupon rate for this bond? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. 2.18 ?? 3.87A 2-year maturity bond with face value of $1,000 makes annual coupon payments of $116 and is selling at face value. What will be rate of return on the bond if its yield to maturity at the end of the year is: Note: Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. a. 6% b. 11.6% c. 13.6% Rate of Return % % %What is the yield-to-maturity of an Acme bond selling for $1,107.50 with 5 years to maturity, a 12 1/2% coupon, and semiannual compounding? a. 10.20% b. 11.29% c. 9.74% d. 10.36%
- What is the approximate yield to maturity (YTM) of a bond that is currently selling for $1,150 in the market place? The annual bond has 20 years remaining until maturity and pays a 14% coupon. (Assume annual interest payments and discounting.) Select one: a. 14% b. 6% c. 7% d. 12%What is the YTM for a zero coupon bond ($1,000 par) maturing 18 months and 15 days from now selling for $900 today. Use semiannual rate approach. A. 7.19% B. 8.41% C. 6.94% D. 6.53% E. 7.81%What is the yield to maturity on an 18-year, zero coupon bond selling for 40% of par value? Assume annual compounding. Select one: a. 6.92% b. 5.22% c. 6.37% d. 30.00% e. 4.86%
- What is the coupon rate of a ten-year, $10,000 bond with semiannual coupons and a price of $9,558.57, if it has a yield to maturity of 6.6%? OA. 7.188% OB. 5.99% OC. 4.792% OD. 8.386%Suppose a 10-year, $ 1 comma 000 bond with an 8.1% coupon rate and semi - annual coupons is trading for a price of $1 comma 034.81. a. What is the bond's yield to maturity (expressed as an APR with semi - annual compounding)? b. If the bond's yield to maturity changes to 9.7% APR, what will the bond's price be?(1) Consider a 15-year 7% semiannual pay bond, if the price of the bond per $1,000 of par value is $802.24, and the investor will hold the bond to maturity. What are the following answers? a) Current yield b) Yield to maturity Total coupon interest d) Interest on interest e) Capital gain/Loss
- What is the modified duration for a three-year, semi-annual pay, $1,000 par value, 8.00% coupon bond that is currently priced to yield 5.22%? 2.60 1.82 2.67 1.44What must be the price of a $1,000 bond with a 6.5% coupon rate, annual coupons, and 20 years to maturity if YTM is 7.8% APR? O A. $870.44 O B. $1,218.62 O C. $696.35 O D. $1,044.53What is the current price of a P1,000 par value bond maturing in 12 years with a coupon rate of 14%, paid semiannually, that has a yield-to-maturity of 13%? a. P604.00 b. P1,090.00 c. P1,060.00 d. P1,073.00