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principle of finance
Heyy Guys please help me out,ihave this quistion and it's really hard to answer if you guys can help me out iwould aperciate it,here it is
you just purchased a bond which maturesin 20 years.the bond has a face value of $ X,where X E [2000,1000 000],and has a percent annual coupon,the market interest rate is 10 percent ( i dont have the sign in my keyboard but its similar to it) * find the present value of bond in ever y year during the maturity period. *suppose that the market interest rates has increased immdeitly to (10+y)percent after the bond purchasing;where Y E [1,9].find the present value of the bond in every year during the maturity period. *supposed that the market intreset rate has decreased imdeitly to (10-Y)percent after the bond purchasing:where Y E[1,9] find the present value of the bond in every year during maturity period . plaz help me |
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