You buy an 8 percent coupon, 10-year maturity bond for ($980.) A year later, the bond price

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You buy an 8 percent coupon, 10-year maturity bond for $$980.$ A year later, the bond price is $$1,050$.

a. What is the new yield to maturity on the bond?

b. What is your rate of return over the year?

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Fundamentals Of Corporate Finance

ISBN: 9780072416275

3rd Edition

Authors: Richard A. Brealey

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Question Posted: Jun 05, 2024 01:03 AM

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You buy an 8 percent coupon, 10-year maturity bond for ($980.) A year later, the bond price

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Fundamentals Of Corporate Finance

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