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Author Question: Schlitz Brewery Inc. bonds are trading today for a price of $961.29. The bond currently has 10 years ... (Read 14 times)

wrbasek0

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Question 1

Man-zeer Inc., (a Kramer/Costanza joint venture) bonds are currently trading at $974.79. The bonds have a face value of $1,000, an annual coupon rate of 7.5% with payments made semi-annually, and mature in 20 years. What is the yield-to-maturity?
◦ 4.26%
◦ 4.55%
◦ 7.45%
◦ 7.75%
◦ 11.56%

Question 2

Schlitz Brewery Inc. bonds are trading today for a price of $961.29. The bond currently has 10 years until maturity and has a yield to maturity of 5%. The bond pays annual coupons and the next coupon is due in one year. What is the coupon rate of the bond?
◦ 3.0%
◦ 3.5%
◦ 4.0%
◦ 4.5%
◦ 5.0%


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Marked as best answer by wrbasek0 on Apr 25, 2021

smrerig

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wrbasek0

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Reply 2 on: Apr 25, 2021
Excellent


bdobbins

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Reply 3 on: Yesterday
Wow, this really help

 

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