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gilead township is issuing 30 year bond with the $50,000,000 and a stated annual

ID: 2621073 • Letter: G

Question

gilead township is issuing 30 year bond with the $50,000,000 and a stated annual interest rate of 4 %. The city will make interest payments twice a year. Answer the following questions regarding the bond term and sale. Question 1: The pair value of the bond is ? Question 2 : The coupon rate is what percent ? ( do not include the percent sign with your response) gilead township is issuing 30 year bond with the $50,000,000 and a stated annual interest rate of 4 %. The city will make interest payments twice a year. Answer the following questions regarding the bond term and sale. Question 1: The pair value of the bond is ? Question 2 : The coupon rate is what percent ? ( do not include the percent sign with your response) gilead township is issuing 30 year bond with the $50,000,000 and a stated annual interest rate of 4 %. The city will make interest payments twice a year. Answer the following questions regarding the bond term and sale. Question 1: The pair value of the bond is ? Question 2 : The coupon rate is what percent ? ( do not include the percent sign with your response) Question 1: The pair value of the bond is ? Question 2 : The coupon rate is what percent ? ( do not include the percent sign with your response)

Explanation / Answer

The par value of the bond is = 1000 ( this is the general par value of any bond unless explicitly mentioned)

coupon rate = 4.00%