Answer:
Bond Price= $108,175.71
Step-by-step explanation:
Giving the following information:
Face value= $100,000
Coupon rate= 0.05/2= 0.025
YTM= 0.04/2= 0.02
Time period= 10*2= 20 semesters
<u>To calculate the price of the bond, we need to use the following formula:</u>
Bond Price= cupon*{[1 - (1+i)^-n] / i} + [face value/(1+i)^n]
Bond Price= 2,500*{[1 - (1.02^-20)] / 0.02} + [100,000/(1.02^20)]
Bond Price= 40,878.58 + 67,297.13
Bond Price= $108,175.71
15 and 21. From 1 to 3 is plus 2 and from 3 to 6 is plus 3 and from 6 to 10 is plus 4 and so on
Answer:
7 9. If you have any fractions, get rid of those first by multiplying ALL ... to model and solve 3n 6 15. Then solve the equation. 10. 13 x = 32 + 5 x 3.
Step-by-step explanation:
Answer:
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Step-by-step explanation: