Statistics homework help
P5-5 Valuing BondsEven though most corporate bonds in the United States make coupon payments semiannually, bonds issued elsewhere often have annual coupon payments. Suppose a company issues a bond with a par value of 1,000, 29 years to maturity, and a coupon rate of 9.9 percent paid annually.Required:If the yield to maturity is 7 percent, what is the current price of the bond? (Do not include the euro sign (). Round your answer to 2 decimal places. (e.g., 32.16))Solutions to assignment of saltystudent12 (Oct 15)Using Excel’s PV() function:RATENPERPMTFVTYPEPV 7%29(99.00)(1,000.00)1,356.05 This is the annual yield to maturity.This the remaining…