Question
A bond is paying $80 coupon every six month. The bond's face value is $1000 and it has 5 years to maturity. By what percentage
A bond is paying $80 coupon every six month. The bond's face value is $1000 and it has 5 years to maturity. By what percentage will the price of the bond change, if the current YTM of 10% decreases to 8% due to a credit rating upgrade? (Provide your answer in percent rounded to two decimals, omitting the % sign.)
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Financial Management Theory And Practice
Authors: Prasanna Chandra
8th Edition
0071078401, 978-0071078405
