A fixed coupon bond has 15 years to maturity and a coupon ra…

A fixed coupon bond has 15 years to maturity and a coupon rate of 7.5%  Coupon payments are made semi-annually.  Assuming  a current market rate of 7%, what is the present value of the bond?  (HINT – assume this is a $1,000 bond) * Draw a timeline of show all cashflows for this bond.  Submit the timeline with your hand-written work. *

Calculate the duration of a 8.5% annual coupon bond with 6 y…

Calculate the duration of a 8.5% annual coupon bond with 6 years to maturity.  Assume the market interest rate is 4%. Show your work on your hand-written page.  In the space below, write your answer as a percent but do not include the percent sign. For an answer of 8.75 years you would simply write 8.75.

Calculate the duration of a 9% annual coupon bond with 6 yea…

Calculate the duration of a 9% annual coupon bond with 6 years to maturity.  Assume the market interest rate is 7%. Show your work on your hand-written page.  In the space below, write your answer as a percent but do not include the percent sign. For an answer of 8.75 years you would simply write 8.75.

A fixed coupon corporate bond with 30 years to maturity has…

A fixed coupon corporate bond with 30 years to maturity has a price quote of 93.5, with payments made annually.  What coupon rate would a company expect for this bond if you expect the yield to be about 7.5%? (hint – Assume the quote should be used as percentage of par.  You do not need to consider this bond as quoted in 8ths)    * Please show your work clearly on your hand-written page.  Partial credit will be given if I can follow your work. *