Posted by **Jill** on Friday, June 18, 2010 at 9:53pm.

I am having a problem with this question and need direction.A $500 8% bond is purchased on Feb. 1,2004 to yield 10% compounded semi-annually. The interest on the bond is payable on Feb. 1 and Aug.1 each year. What is the purchase price if the bond is redeemable at face value on Feb. 1, 2014? I don't even know where to start and can't find any samples in my text. Thank you very much for any help.

## Answer This Question

## Related Questions

- accounting - How do you journalize on Feb 10: Paid for goods purchased on Feb 3...
- economics (7) - Assume that a $1,000 bond issued in 2012 pays $100 in interest ...
- economics (7) - Assume that a $1,000 bond issued in 2012 pays $100 in interest ...
- Economics (7) - Assume that a $1,000 bond issued in 2012 pays $100 in interest ...
- economics (7) - Assume that a $1,000 bond issued in 2012 pays $100 in interest ...
- Finance - A three-year bond has 8.0% coupon rate and face value of $1000. If the...
- Finance - A three-year bond has 8.0% coupon rate and face value of $1000. If the...
- Finance - Bond Pricing: A 6-year Circular File bond pays interest of $80 ...
- Personal Finance - On December 1, 2004 a $1,000.00 bond, paying 6% interest on ...
- accounting - Heww Inc., issued a $50,000, 10 year bond with a stated interest ...

More Related Questions