Given the current yield to maturity of the bond, the price of the bond five years for now is $883.10.
<h3>What is the price of the bond five years from now?</h3>
The first step is to determine the yield to maturity of the bond. The yield to maturity is the return on the bond if the bond is held to matuity.
Yield to matuity can be determined using a financial calculator:
Cash flow in year 0 = -875
Cash flow each year from year 1 to 25 = 85
Cash flow in year 25 = $1000
Yield to matuity = 9.86%
Future price of the bond: (coupon x future price factor) + [FV / (1 + YTM)^n)]
Future price factor = [1 - (1/YTM)^n] / YTM
= [1 - 1/0.0986^20] 0.0986 = 8.595555
[85 x 8.595555 ] + 152.478323 = $883.10
To learn more about yield to maturity, please check: brainly.com/question/26484024
<span>60,000 - 4% = ?
Just do this and you will get your answer. </span>
So is 4 floors / 10 seconds
If you have 60 seconds you can multiple 10 by 6 because 10×6=60
so you also have to multiple 4 by 6
4×6=24
and because it's descending it's 100-24= 76
<em><u>Answer:</u></em>
115 is between 114 and 116 because they are the integers that are directly bigger than 115 and smaller than 115.
Answer:
-12/5 - 2
Step-by-step explanation:
-18÷3×8(-8)/-5×-2+(-2) =
-6×8(-8)/-5×-2+(-2) =
-48(-8)/-5×-2+(-2) =
6/-5×-2+(-2) =
-12/5 - 2
