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A $1000, 7% Coupon, 15-Year Province of Saskatchewan Bond Was

Question 59

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A $1000, 7% coupon, 15-year Province of Saskatchewan bond was issued on May 20, 2001. Calculate its (flat) price on May 20, June 20, July 20, August 20, September 20, October 20, and November 20, 2003, if the yield to maturity on every date was 5.9% compounded semiannually.

Correct Answer:

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May 20 = $1098.89
June 20 = $1...

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