Posted by Mel on .
Bond valuation
Callaghan Motors’ bonds have 10 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 8 percent; and the yield to maturity is 9 percent. What is the bond’s current market price?

FINANCE 
Anonymous,
this is a good one, I have to do the same problem, very nice

FINANCE 
JJ,
yes

FINANCE 
Kg,
Bond valuation
Callaghan Motors’ bonds have 10 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 8 percent; and the yield to maturity is 9 percent. What is the bond’s current market price