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A 20-year 1000 par value bond with a coupon rate of 8% payable semiannually was issued on January 28, 2000 with the first coupon received
A 20-year 1000 par value bond with a coupon rate of 8% payable semiannually was issued on January 28, 2000 with the first coupon received the first coupon on July 28, 2000. Use the semi-theoretical method (a) Assume the bond was bought by a new purchaser for a price of 953.45 on July 28, 2010. Find the yield rate for the new purchaser. (b) Assume the bond was bought by a new purchaser for a price of 980 on April 1, 2010. Find the yield rate for the new purchaser
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