1)Ninja Co. issued 13-year bonds a year ago at a coupon rate of 8.5 percent. The bonds make semiannual payments. If the YTM on these bonds is
6.8 percent what is the current bond price? (Round your answer to 2 decimal places. (e.g. 32.16))
2)
Ponzi Corporation has bonds on the market with 14.5 years to maturity a YTM of 7.50 percent and a current price of $1061. The bonds make
semiannual payments.
What must the coupon rate be on these bonds? (Round your answer to 2 decimal places. (e.g. 32.16))
3)
Treasury bills are currently paying 7 percent and the inflation rate is 2.90 percent.
What is the approximate real rate of interest? (Round your answer to 2 decimal places. (e.g. 32.16))
What is the exact real rate? (Round your answer to 2 decimal places. (e.g. 32.16))