What Is the Value of a 10% Semi-Annual Coupon Bond

question 25

Multiple Choice

What is the value of a 10% semi-annual coupon bond with a par value of $1,000 that matures in 5 years and has a required rate of return of 9%?

• A) $1,021.95
• B) $1,038.90
• C) $1,039.56
• D) $1,064.18
• E) $1,078.23