Question
A 5-year 4% coupon bond has a yield to maturity of 3% and a face value of $1,000. Coupons are paid semi-annually and the first
A 5-year 4% coupon bond has a yield to maturity of 3% and a face value of $1,000. Coupons are paid semi-annually and the first coupon will be paid in six month. The price of the bond is _____.
a. $955.09
b. $1,045.80
c. $1,046.11
d. $1,000
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Entrepreneurial Finance
Authors: Philip J. Adelman; Alan M. Marks
6th edition
9780133099096, 133140512, 133099091, 978-0133140514
