Planit:Bond Calculator Exercise

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Country Specific

Canada English

Question 1: Joe Drummer is considering buying a bond with a maturity value of $1,000 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at $900? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of $2,000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at $1,500? Purchase Value =$_____

United States of America

Question 1: Joe Drummer is considering buying a bond with a maturity value of $1,000 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at $900? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of $2,000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at $1,500? Purchase Value =$_____

Argentina

Question 1: Joe Drummer is considering buying a bond with a maturity value of $3 800 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at $3 400? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of $7 700 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at $5 700? Purchase Value =$_____

Brazil

Question 1: Joe Drummer is considering buying a bond with a maturity value of R$71 900 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at R$64 700? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of R$143 800 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at R$107 900? Purchase Value =R$_____

United Kingdom

Question 1: Joe Drummer is considering buying a bond with a maturity value of £600 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at £500? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of £1 200 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at £900? Purchase Value =£_____

Russia

Question 1: Joe Drummer is considering buying a bond with a maturity value of руб.30 000 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at руб.27 000? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of руб.60 000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at руб.45 000? Purchase Value =руб._____

China

Question 1: Joe Drummer is considering buying a bond with a maturity value of ¥6 500 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at ¥5 800? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of ¥13 000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at ¥9 700? Purchase Value =¥_____

Malaysia

Question 1: Joe Drummer is considering buying a bond with a maturity value of RM3 000 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at RM2 700? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of RM6 000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at RM4 500? Purchase Value =RM_____

Singapore

Question 1: Joe Drummer is considering buying a bond with a maturity value of S$1 300 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at S$1 200? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of S$2 600 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at S$1 900? Purchase Value =S$_____

Hong Kong

Question 1: Joe Drummer is considering buying a bond with a maturity value of HK$7 500 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at HK$6 800? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of HK$15 000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at HK$11 300? Purchase Value =HK$_____

India

Question 1: Joe Drummer is considering buying a bond with a maturity value of 44 100 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at 39 700? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of 88 200 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at 66 200? Purchase Value =_____

Caribbean

Jamaica   Question 1: Joe Drummer is considering buying a bond with a maturity value of J$82 500 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at J$74 300? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of J$165 000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at J$123 800? Purchase Value =J$_____ Trinidad and Tobago   Question 1: Joe Drummer is considering buying a bond with a maturity value of TT$6 100 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at TT$5 500? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of TT$12 200 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at TT$9 200? Purchase Value =TT$_____ Barbados   Question 1: Joe Drummer is considering buying a bond with a maturity value of Bds$1 900 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at Bds$1 700? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of Bds$3 900 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at Bds$2 900? Purchase Value =Bds$_____ Bermuda   Question 1: Joe Drummer is considering buying a bond with a maturity value of BD$1 000 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at BD$900? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of BD$1 900 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at BD$1 500? Purchase Value =BD$_____ Bahamas   Question 1: Joe Drummer is considering buying a bond with a maturity value of B$1 000 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at B$900? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of B$1 900 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at B$1 500? Purchase Value =B$_____ Puerto Rico   Question 1: Joe Drummer is considering buying a bond with a maturity value of $1,000 and a 15-year term to maturity, as soon as it is issued. The bond pays a coupon rate of 10% compounded semi-annually. What is the yield to maturity if the bond is priced at $900? Yield to Maturity =_____ % Question 2: Your client bought a bond two years after it was issued, with a maturity value of $2,000 and a 10-year term. The bond pays a coupon rate of 8%, compounded annually, with a yield to maturity of 8.5%. What was the purchase value if the bond was originally priced at $1,500? Purchase Value =$_____

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