公司金融第二次作业.pdf

公司金融第二次作业.pdf - 叶芷欣 1602010411...

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叶芷欣 1602010411 邓博文 1300017659 杨明烨 1300017626 1 Consider the following two types of bonds: Bond A: A ten year zero coupon Bond Bond B: A ten year, 10% coupon bearing Bond, paying the coupon once every year. Both bonds have a face value of $1,000 and have a similar risk. For that reason the yield to maturity of both bonds is 9%. A What are the current prices of the above two types of bonds? For Bond A ࠵? " = $%%% $.%’ () ≈ 422.41 dollars For Bond B: ࠵? . = 1000 ∗ 10 ∗ ࠵? ’% $% + $%%% $.%’ () ≈ 1064.18 dollars B Suppose that next year, when you plan to see the bonds, the yield to maturity of the bonds remains at 9%. What rate of return will each of the bonds generate over the year? Can you identify the current yield and the capital gains yield? For Bond A: ࠵? " = $%%% $.%’ 6 ≈ 460.43 dollars capital gains yield " = 460.43 − 422.41 422.41 ≈ 9% total return " = capital gains yield " + current yield " = 9% For Bond B: ࠵? . = 1000 ∗ 10 ∗ ࠵? ’% + $%%% $.%’ 6 ≈ 1059.65 dollars capital gains yield . = 1059.65 − 1064.18 1064.18 ≈ −0.4% current yield . = ࠵?࠵?࠵?࠵?࠵?࠵? 1064.18 = 9.4% total return . = capital gains yield . + current yield . = 9% C Suppose instead that the yield to maturity of the bonds drops to 7% at the end of the year. Re- calculate the rates of return of each of the bonds. For Bond A: ࠵? " = $%%% $.%P 6 ≈ 543.93 dollars capital gains yield " = 543.93 − 422.41 422.41 ≈ 28.77% total return " = capital gains yield " + current yield " = 28.77%
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For Bond B: ࠵? . = 1000 ∗ 10 ∗ ࠵? P% + $%%% $.%P 6 ≈ 1195.45 dollars capital gains yield . = 1195.45 − 1064.18 1064.18 ≈ 12.34% current yield . = ࠵?࠵?࠵?࠵?࠵?࠵? 1064.18 = 9.4% total return . = capital gains yield .
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