Question
A bond paying a coupon rate of 10% per year semi-annually, market interest rate is 4% per half-year. The bond has three years until maturity.
A bond paying a coupon rate of 10% per year semi-annually, market interest rate is 4% per half-year.
The bond has three years until maturity.
Find
(a) the bond's price now
(b) six months from now after the next coupon is paid
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Practical financial management
Authors: William r. Lasher
5th Edition
0324422636, 978-0324422634
