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A 25-year, $1,000 par value bond has an 8.5% annual coupon. The bond currently sells for $1,175. If the yield to maturity remains at its
A 25-year, $1,000 par value bond has an 8.5% annual coupon. The bond currently sells for $1,175. If the yield to maturity remains at its current rate, what will the price be 5 years from now?
Select the correct answer.
a. $1,159.09b. $1,149.81c. $1,152.13d. $1,156.77e. $1,154.45
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