Is the bond selling at a premium or a discount


Go to the Yahoo Finance Bonds Center.

  1. Under: Bonds Center click Bond Screener:
  2. Click the Corporate check box under Bond Type then click Find Bonds.
  3. Choose any bond.

Assume interest rates for bonds today is 5% for an AAA rated bond. Calculate the price of the bond you have selected relative to the 5%. Is the bond selling at a premium or a discount? Why? Be sure to show how you arrived at your answer. What other factors may influence the value of a bond?

Solution Preview :

Prepared by a verified Expert
Finance Basics: Is the bond selling at a premium or a discount
Reference No:- TGS0557089

Now Priced at $30 (50% Discount)

Recommended (97%)

Rated (4.9/5)