A 10- year coupon bond with face value of $500,000 and a semi- annual coupon rate of 6% p.a. pays how much per half year in coupon payments?
A) $30,000.
B) $15,000.
C) $1500.
D) $60,000.

Name: A 10- year coupon bond with face value of $500,000 and a semi- annual coupon rate of 6% p.a. pays how much per half year in coupon payments? A) $30,000. B) $15,000. C) $1500. D) $60,000.
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Question

Quizplus · Accepted Answer

The semi-annual coupon payment is calculated as (6% / 2) * $500,000 = 3% * $500,000 = $15,000.

A 10- Year Coupon Bond with Face Value of $500,000