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Author Question: Consider a 30 year coupon bond with $75 annual coupons. The next coupon is due one year from today. ... (Read 83 times)

nautica902

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Question 1

Consider a 30 year coupon bond that pays $75 annual coupons (beginning one year from today). What is the sum (undiscounted) of the coupons?
◦ $2,250
◦ $3,015
◦ $2,495
◦ $2,800
◦ $2,500

Question 2

Consider a 30 year coupon bond with $75 annual coupons. The next coupon is due one year from today. Assume that the yield curve is flat and so all yields are 8%, and yields are expected to remain constant over the bond's life. At maturity, how much interest will a bond investor have earned on the reinvested coupons?
◦ $6,246.24
◦ $4,300.25
◦ $2,025.00
◦ $7,754.70
◦ $8,496.24


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Marked as best answer by nautica902 on Apr 25, 2021

gcook

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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nautica902

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Reply 2 on: Apr 25, 2021
Thanks for the timely response, appreciate it


Chelseyj.hasty

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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