Coupon Assignment | Professional Writing
Jones Inc. bonds mature in 9 years, at par, and make an annual coupon of 7.5%. The market interest rate for the bonds is 9.0%. What is the bond’s price? 2 Wurlitzer Inc, have a par bonds that mature in 8 years and have a coupon value of 6.2%. If the current market interest rate is 8.0%, at what price should the bonds sell?
3 Three years ago Abraham and Strauss issued 15-year, 8.5% annual coupon bonds at par. Today, the market interest rate on these bonds is 6.5%. What is the current price of the bonds, given that they now have 12 years to maturity? A 20-year, par value bond has an 8.0% annual coupon. The bond currently sells for $935. If the yield to maturity remains at its current rate, what will the price be 5 years from now?C
Get Finance homework help today