Question
A 10-year, $1,000 par value bond has a 6.25% coupon rate with interest paid semiannually.The bond currently sells for $825.What is the capital gains yield
A 10-year, $1,000 par value bond has a 6.25% coupon rate with interest paid semiannually.The bond currently sells for $825.What is the capital gains yield on these bonds?Enter your answer rounded to two decimal places.Do not enter % in the answer box.For example, if your answer is 0.12345 or 12.345% then enter as 12.35 in the answer box.
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Practical financial management
Authors: William r. Lasher
5th Edition
0324422636, 978-0324422634
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