Firm XYZ has a bond with a coupon rate of 9 . 6 8 % ( paid

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Question:

Firm XYZ has a bond with a coupon rate of

9.68 % (

paid semi

-

annually

),

face value of $

1000,

and

13

years to maturity. Bond dealers tell you that the yield

-

-

maturity on this bond is

6.96 % .

What should be the bond\'s price?

Related Book For answer-question

Corporate Finance Core Principles And Applications

ISBN: 9781260571127

6th Edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan

See More Books

Posted Date: May 11, 2024 03:58 AM

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Firm XYZ has a bond with a coupon rate of 9 . 6 8 % ( paid

Question:

Expert Answer:

The price of the bond should be around 204955 This is because the bonds price is the present value o... View the full answer

Corporate Finance Core Principles And Applications

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