bond-ytm-for-vikas-gupta

bond-ytm-for-vikas-gupta - Bond Price 924.2 Maturity Value...

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Coupon Rate 8.00% Linear Interpolation to approxim Bond Price @ 5% YTM YTM = iL + [(iH-iL)(pvL - pvYTM INTEREST PVIFA(5%, 5 Years) Present Value YTM = 0.05 + [ (0.15 - 0.05) (11 80 4.33 $346.36 YTM = 0.05 + [ (0.10) (205.68) ] YTM = 0.05 + [ 20.568 ] / (364.5 Maturity Value PVIF(5%, 5 Years) Present Value YTM = 0.05 + 0.05642334 1000 0.78 $783.53 YTM = 0.10642334 YTM=10.64% Bonds Calculated Price $1,129.88 Bond Price @ 15% YTM INTEREST PVIFA(15%, 5 Years) Present Value 80 3.35 $268.17 Actual YTM
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Unformatted text preview: Bond Price 924.2 Maturity Value PVIF(15%, 5 Years) Present Value Par Value 1000 1000 0.5 $497.18 Coupon rate 8% Years to Maturity 5 Bonds Calculated Price $765.35 RATE 10.00% 2010 All Rights Reserved Related Topics http://thinkanddone.com http://finance.thinkanddone.com/ytm.html http://finance.thinkanddone.com/online-ytm-calculator.html ate YTM )] /(pvL - pvH) 129.88 - 924.20) ] / (1129.88 - 765.35) ] / (364.53) 53)...
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This note was uploaded on 10/13/2010 for the course USMLE na taught by Professor Na during the Spring '10 term at St. Matthew's University.

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bond-ytm-for-vikas-gupta - Bond Price 924.2 Maturity Value...

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