P11.15 A 25-year, zero-coupon bond was recently being quoted at 11.625% of par. Find the current yield

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P11.15 A 25-year, zero-coupon bond was recently being quoted at 11.625% of par. Find the current yield and the promised yield of this issue, given that the bond has a par value of $1000.

Using semi-annual compounding, determine how much an investor would have to pay for this bond if it were priced to yield 12%.

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Fundamentals Of Investing

ISBN: 9781442532885

3rd Edition

Authors: Lawrence J. Gitman, Michael D. Joehnk, Scott Smart, Roger Juchau, Donald Ross, Sue Wright

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Question Posted: Oct 25, 2024 04:00 AM

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P11.15 A 25-year, zero-coupon bond was recently being quoted at 11.625% of par. Find the current yield

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Fundamentals Of Investing

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