Calculating the Maximum Price to Pay for a Bond

Assume that you wish to purchase a 10-year bond that has a maturity value of $1,000 and makes semiannual interest payments of $50. If you require a 10 percent nominal yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?

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...and the discounting rate is 10%/2=5% for semi annual. Interest is an annuity and we use the PVIFA table to get the PV factor. For principal amount which is ...