Homework answers / question archive / Padme purchases a $30000 face value bond with 4 years left to maturity and a coupon rate of 10

Padme purchases a $30000 face value bond with 4 years left to maturity and a coupon rate of 10

Business

Share With

Padme purchases a $30000 face value bond with 4 years left to maturity and a coupon rate of 10.05%. The current interest rate is 5.950000000000001%. a) When she buys the bond, will it be at a premium or at a discount? b) Construct the amortization table for the bond.