1- A zero coupon bond has a face value of $1,000 and matures in 55 years. Investors require? a(n) 6.2% annual return on these bonds. What should be the selling price of the? bond?
2- Man-zeer Inc.,? (a Kramer/Costanza joint? venture) bonds are currently trading at $1,087.52. The bonds have a face value of $1,000?, a coupon rate of 10.5?% with coupons paid? semiannually, and they mature in 15 years. What is the yield to maturity of the? bonds?
3- Beam Inc. bonds are trading today for a price of ?$866.86. The bond pays annual coupons with a coupon rate of 6.5?% and the next coupon is due in one year. The bond has a yield to maturity of 7.84?%. How many years are there until the bond? matures?
4- What is the percentage change in price for a zero coupon bond if the yield changes from 7?% to 5?%? The bond has a face value of $1,000 and it matures in 17 years. Use the price determined from the first? yield, 7%, as the base in the percentage calculation