Message from ThisIsChris in MacGuyver - Skills & Academics #homework-help
Pretty sure 8 is correct
Would just be the average
Ok good that's what i had thought
What's the other question?
3. Assume the original maturity a bond with face value $1000 is 8 years. The annualized
yield to maturity for the bond is 6.25% and its annual coupon rate is 7.5% being
semiannually paid. The bond was issued on 8/1/2015, and bought on 12/1/2017.
Compute the following:
(1) dirty price, (2) clean price and (3) accrued interest. (7 points)
I calculated 1058.76 for dirty price, 1046.26 for clean and 12.5 for accrued interest.
I understand this problem, what I don't get is how to calculate the accrued interest because I don't know how to determine the intervals of the semi annual interest payments.
Hmm. Send pic of question
Ok so the equation for AI might be
cash flow (1-(days/total days in coupon period))
Idk that helps
Yeah I know that much, thank you, I'm having trouble just discerning the days since the last coupon payment from the dates given is all.
Bonds usually pay interest on the first day of January and July
That's usually what semiannual implies.
@SamanthaM awesome, I think this is the first homework help of the new academic channels!
Would anyone @here be willing to read my rought draft for a paper I'm writing on this video:
Also any specific sources to help back up my statements would be appreciated
@StrawberryArmada I suggest putting the paper into a google doc, and creating a share link where anyone with the link can comment on (but not edit) the document
This should work
@StrawberryArmada Alright dude I looked over it, left my comments and some sources I found. Hopefully someone else can give it a once over as well @here
Thanks mate. I still have a week before the finally draft
Anyone able to help with an algebra problem? Pretty basic
9u = 6/5
How do i get to 2/15?
Multiply both sides by 5
so on the left you have 45 u
an the right the 5 on the bottom cancels out with the 5 on the top you just multiplied
so 45u = 6
then divide both sides by 45
so u = 6/45
6 is 2\*3, and 45 = 15\*3