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1
1.Dufner Co. issued 16-year bonds one year ago at a coupon rate of 6.7 percent. The bonds make semiannual payments.
If the YTM on these bonds is 5.3 percent, what is the current dollar price assuming a par value of $1,000? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
2.Parkway Void Co. issued 14-year bonds two years ago at a coupon rate of 10.2 percent. The bonds make semiannual payments.
If these bonds currently sell for 96 percent of par value, what is the YTM? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
3.You find a zero coupon bond with a par value of $10,000 and 15 years to maturity. The yield to maturity on this bond is 4.8 percent. Assume semiannual compounding periods. What is the price of the bond? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
4.Union Local School District has bonds outstanding with a coupon rate of 3.2 percent paid semiannually and 21 years to maturity. The yield to maturity on these bonds is 3.5 percent and the bonds have a par value of $5,000. What is the price of the bonds? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
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