Question
A 20-year maturity bond with face value of $1,000 makes semiannual coupon payments and has a coupon rate of 6%. a. What is the bonds
| A 20-year maturity bond with face value of $1,000 makes semiannual coupon payments and has a coupon rate of 6%. |
| a. | What is the bonds yield to maturity if the bond is selling for $990? (Do not round intermediate calculations. Round your answer to 3 decimal places.) |
| Annual yield to maturity | % |
| b. | What is the bonds yield to maturity if the bond is selling for $1,000? (Do not round intermediate calculations.) |
| Annual yield to maturity | % |
| c. | What is the bonds yield to maturity if the bond is selling for $1,190? (Do not round intermediate calculations. Round your answer to 3 decimal places.) |
| Annual yield to maturity | % |
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Derivatives And Internal Models
Authors: Hans Peter Deutsch, Mark W. Beinker
5th Edition
3030229017, 9783030229016
