(Answered) Size of the annual coupon payments

Finance

Problem: Consider a $1,000 par value bond with a 9 percent annual coupon that is currently selling for $943. The bond pays interest annually. There are 15 years remaining until maturity.

Required:

Question 1: What is the size of the annual coupon payments?

Question 2: What is the current yield on the bond?

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Financial Management, Finance

Category:- Financial Management
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