Question

Bridge bonds series a dated 7-15-2005 4.375% due 7-15-2055 @100.00 what is the coupon interest rate of this bond?

Answer 1

The answer is: 4.375%

Step-by-step explanation:

The issue date of this bond is 7/15/2005 and the maturity date is 7/15/2055.

The coupon interest rate is 4.375%. The coupon interest rate is how much interest the bond will yield. The coupon interest is calculated using the face value of the bond.