A $1,000 corporate bond with 20 years to maturity pays a coupon of 7% (semi-annual) and the market required rate of return is a) 6.6% b) 13%. What is the current selling price for a) and b)?
did you ask this question yesterday?
I think I sent you to another question that I had already answered for you that was almost identical.
Let see if I can find it.
Mmm
Here is where I answered you last time!
http://web2.0calc.com/questions/valuation-corporate-bond
Ok. Thanks
