Question
4. Two years ago, you purchased a zero coupon bond with a 5-year time to maturity, a 6% YTM, and a par value of $1,000.
4. Two years ago, you purchased a zero coupon bond with a 5-year time to maturity, a 6% YTM, and a par value of $1,000. The bonds YTM today is 5%. If you sell the bond today, what is the annual rate of return on your investment?
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Public Finance And Public Policy
Authors: Jonathan Gruber
2nd Edition
0716766310, 9780716766315
