Question
A bond is purchased for $7,600 with a face value of $9,000 and a redemption value of $10,000 in 5 years. a) Calculate the coupon
A bond is purchased for $7,600 with a face value of $9,000 and a redemption value of $10,000 in 5 years.
a) Calculate the coupon rate needed for a desired yield of 8%?
b) Approximate the yield if the coupon rate is 5%?
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Accounting
Authors: Jonathan E. Duchac, James M. Reeve, Carl S. Warren
23rd Edition
978-0324662962
