Question
A 5 year, $1000 face value bond makes annual payments and has a coupon rate of 8.5%. If the current yield on the bond is
A 5 year, $1000 face value bond makes annual payments and has a coupon rate of 8.5%. If the current yield on the bond is 9.5%, what is the bonds price? ANS: 894.74
Suppose that a year from now the bond sells at a yield to maturity of 9.5%. What is the price of the bond?
Plz answer the second question
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Forecasting And Predictive Analytics With Forecast X
Authors: Barry Keating, J. Holton Wilson, John Solutions Inc.
7th International Edition
1260085236, 9781260085235
