Question
1. What is the price of a $1,000 par value bond with a 8% coupon rate paid semiannually, if the bond is priced to yield
1. What is the price of a $1,000 par value bond with a 8% coupon
rate paid semiannually, if the bond is priced to yield 9% and it has 9 years to maturity?
2. What is the current yield on the above bond(problem #1) if the YTM is 9%?
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Financial Markets And Institutions
Authors: Frederic S. Mishkin, Stanley Eakins
6th Edition
0321374215, 9780321374219
