Question
8. Consider an annual coupon bond with a face value of $100, 8 years to maturity, a price of $91. The coupon rate on the
8. Consider an annual coupon bond with a face value of $100, 8 years to maturity, a price of $91. The coupon rate on the bond is 6%. If you can reinvest at a rate of 5% per annum, then how much money do you have if you hold the bond to maturity?
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Finance For Growing Enterprises
Authors: Edward W. Davis, Roger Buckland
1st Edition
1138679941, 978-1138679948
