Missing information on a bond. Your broker faxed to you the following information about two annual couponLOADING... bonds that you are considering as a potential investment. Unfortunately, your fax machine is blurring some of the items, and all you can read from the fax on the two different bands is thefollowing: Fill in the missing data from the information that the broker sent. What is the price of the IBM coupon bond?
Features
IBM Coupon Bond
AOL Coupon Bond
Face value (Par)
$1,000
$5,000
Coupon rate 10.5%
?
Yield to maturity 7.5%
6.5%
Years to maturity 10
25
Price
?
$5,914.84
