Question
A 5-year Government Bond is trading at $900, and its par value is $1000. The coupon rate is 5% per year. 1) Please calculate its
A 5-year Government Bond is trading at $900, and its par value is $1000. The coupon rate is 5% per year.
1) Please calculate its Yield to maturity (YTM)?
2) Please calculate YTM if the bond is trading at $ 1100 now. Is this bond trading at a premium or discount?
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Corporate Finance Governance And Business Cycles Theory And International Comparisons
Authors: Robert E. Krainer
1st Edition
0444510494, 9780444510495
