zelaznyrachel4546 zelaznyrachel4546
  • 13-01-2021
  • Business
contestada

Consider a 10-year bond with a face value of $1000 that has a coupon rate of 5.5%, with semiannual payments. a. What is the coupon payment for this bond

Respuesta :

facundobuzzetti
facundobuzzetti facundobuzzetti
  • 14-01-2021

Answer:

Coupon= $27.5

Explanation:

Giving the following information:

Face value= $1,000

Coupon= semiannual payments

Coupon rate= 0.055/2= 0.0275

To calculate the semiannual payment, we need to use the following formula:

Coupon= face value*coupon rate

Coupon= 1,000*0.0275

Coupon= $27.5

Answer Link

Otras preguntas

What are the benifits of saving.
Solve for y: 3x + y = 12
Jane builds a ramp made of a triangular prism and a rectangular prism. What is the volume of the ramp? QUICK!!!
Please answer this correctly What are the correct options A. Come from plants Straw or Hay B.Plant matter left over from a harvest Straw or Hay C.Does not h
This image shows a public service announcement. 3 boys put their hands in a big bowl of popcorn. The caption reads "Spread popcorn. Not flu." What is the tone
How do the camel drivers influence the boy’s actions? The camel drivers were strong and able to defend their camp against attack; this taught Santiago to fig
Find the zeros for 0 = x2 + 6x + 9 : x = 3 x = -3 x = 3 and x = -3 x = 1 and x = 9 *work must be shown to receive credit*
A speaker with a resistance of 50 Ω is hooked up to a 20 V battery. What current will flow through the speaker?
How many dams are on the main stem Columbia River?
Determine the intercepts of the line.