This may be a very simple question but I am new to it and confused. If a bond is 3 years, 1000 par value redeeming for 1000, with coupons paid semiannually with a nominal semi-annual coupon rate of 4.6% what would the cash flows be? (I am entering them into excel) 46 for periods 1-5 and 1046 for period 6, so 23 for periods 1-5 and 1023 for period 6?? Sorry if this is a silly question I am just getting confused on annual and semi annual..
Originally Posted by andyaddition
if 4.6% annual paid semi-annually, then $23; since annual NOT stated, looks like $46 (by default!).