SOA Exam FM Sample Question 71
Study guide: Exam FM-2
A 1000 par value 20-year bond sells for P and yields a nominal interest rate of 10% convertible semiannually. The bond has 9% coupons payable semiannually and a redemption value of 1200.
Calculate P.
- A) 914
- B) 943
- C) 1013
- D) 1034
- E) 1097
Answer this question and see the worked solution