Question
1) Lambert Co. issued 15-year bonds two years ago at a coupon rate 8.4 percent. The bonds make semiannual payments. If these bonds currently sell
1) Lambert Co. issued 15-year bonds two years ago at a coupon rate 8.4 percent. The bonds make semiannual payments. If these bonds currently sell for 84 percent of par value, what is the YTM?
2)Joe Kernan Co. has bonds on the market with 10.5 years to maturity, an YTM of 8.5 percent, and a current price of $1,090. The bonds make semiannual payments. What must the coupon rate be on Kernans bonds?
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International Financial Management
Authors: Cheol Eun, Bruce Resnick
5thEdition
0073382345, 9780073382340
