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1.1) You are eyeing an investment in a corporate bond which has a YTM of 13.40%, and a stated rate of interest of 2.80% with
1.1) You are eyeing an investment in a corporate bond which has a YTM of 13.40%, and a stated rate of interest of 2.80% with a maturity of 5 years. What is the price of this bond?
a. $329.23 b. $622.53 c. $630.78 d. $582.02
1.2) There is a corporate bond in the market that is selling for $954.92 each, stated rate of interest of 2.28% with a maturity of 10 years. What is the yield-to-maturity (YTM) of this bond?
a. 1.40% b. 5.60% c. 0.70% d. 2.80%
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