Question
A 2-year bond with par value $1,000 making annual coupon payments of $94 is priced at $1,000. a. What is the yield to maturity of
A 2-year bond with par value $1,000 making annual coupon payments of $94 is priced at $1,000.
a. What is the yield to maturity of the bond?
b. What will be the realized compound yield to maturity if the 1-year interest rate next year turns out to be (i) 9%, (ii) 11%, (iii) 13%?
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Financial Services Sales Handbook A Professionals Guide To Becoming A Top Producer
Authors: Clifton T. Warren
1st Edition
1631574930, 978-1631574931
