Question
A 25-year maturity bond with face value of $1,000 makes annual coupon payments and has a coupon rate of 8%. a. What is the bonds
| A 25-year maturity bond with face value of $1,000 makes annual coupon payments and has a coupon rate of 8%. |
| a. | What is the bonds yield to maturity if the bond is selling for $960? (Do not round intermediate calculations. Round your answer to 3 decimal places.) |
| Yield to maturity | % |
| b. | What is the bonds yield to maturity if the bond is selling for $1,000? |
| Yield to maturity | % |
| c. | What is the bonds yield to maturity if the bond is selling for $1,160? (Do not round intermediate calculations. Round your answer to 3 decimal places.) |
| Yield to maturity | % |
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Financial Accounting
Authors: Karen Bird, Gene Imhoff
3rd Edition
0984200541, 9780984200542
