View Full Version : O'Brien Ltd.'s outstanding bonds have a $1,000 par value, and they mature in 25 years
rgcuevas
Feb 20, 2011, 05:15 PM
O'Brien Ltd.'s outstanding bonds have a $1,000 par value, and they mature in 25 years. Their nominal yield to maturity is 9.25%, they pay interest semiannually, and they sell at a price of $850. What is the bond's nominal (annual) coupon interest rate?
rgcuevas
Feb 20, 2011, 05:15 PM
O'Brien Ltd.'s outstanding bonds have a $1,000 par value, and they mature in 25 years. Their nominal yield to maturity is 9.25%, they pay interest semiannually, and they sell at a price of $850. What is the bond's nominal (annual) coupon interest rate?
rgcuevas
Feb 20, 2011, 05:16 PM
[QUOTE=rgcuevas;2715456]
O'Brien Ltd.'s outstanding bonds have a $1,000 par value, and they mature in 25 years. Their nominal yield to maturity is 9.25%, they pay interest semiannually, and they sell at a price of $850. What is the bond's nominal (annual) coupon interest rate?
rkabra
Nov 22, 2013, 09:28 AM
O'Brien Ltd.'s outstanding bonds have a $1,000 par value, and they mature in 25 years. Their nominal yield to maturity is 9.25%, they pay interest semiannually, and they sell at a price of $1075. What is the bond's nominal (annual) coupon interest rate?