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A bond has a $1,000 par value, 12 years to maturity, and an 8% annual coupon and sells for $980. What is its yield to
- A bond has a $1,000 par value, 12 years to maturity, and an 8% annual coupon and sells for $980.
- What is its yield to maturity (YTM)? Round your answer to two decimal places.
- Assume that the yield to maturity remains constant for the next 2 years. What will the price be 2 years from today? Do not round intermediate calculations. Round your answer to the nearest cent.
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The Structured Credit Handbook
Authors: Arvind Rajan, Glen McDermott, Ratul Roy
1st Edition
0471747491, 978-0471747499
