Ibm bond pays 625 interest on face value of 100


1. A corporate bond matures on November 20, 2030. Its coupon rate is 6.00% and face value is $100. Its yield is 6.05%. How much is its price on September 30, 2017?

2. IBM bond pays 6.25% interest on face value of $100, semi-annually on May 21st and November 21st. The bond is sold on August 1st. How much is the accrued interest?

3. A Treasury note pays 3.60% interest semi-annually on March 15th and September 15th. The bond is sold on March 31st. How much is the accrued interest?

4. A Harley Davidson bond pays coupon interest 5.75% semi-annually on face value $100. Bond is sold on November 26, 2017. Bond matures in April 30, 2022. The bond price is 100.19. How much is its yield?

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Financial Management: Ibm bond pays 625 interest on face value of 100
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