Question
7. 5% coupon $1,000 par value bond issued 5 years ago. The bond now has 5 years to maturity, currently selling at $800. Investors
7. 5% coupon $1,000 par value bond issued 5 years ago. The bond now has 5 years to maturity, currently selling at $800. Investors believe that at maturity date, bond holders receive 75% par value. Calculate the expected YTM. Coupons are semi annually paid.
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Accounting for Decision Making and Control
Authors: Jerold Zimmerman
8th edition
78025745, 978-0078025747
