Question
5) The market price is $ 900 for a 12-year bond ($ 1 ,000 par value) that pays 9 percent annualinterest, but makes interest payments
5) The market price is $900 for a 12-year bond ($1,000 parvalue) that pays 9 percent annualinterest, but makes interest payments on a semiannual basis (4.5 percentsemiannually).
What is the bond's yield tomaturity?
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Accounting for Decision Making and Control
Authors: Jerold Zimmerman
9th edition
125956455X, 978-1259564550
