Question
A bond pays a semi-annual coupon at an APR of 10.25%. The bond will mature in 9.00 years and has a face value of $1,000.00.
A bond pays a semi-annual coupon at an APR of 10.25%. The bond will mature in 9.00 years and has a face value of $1,000.00. The bond has a yield-to-maturity of 12.52% APR. What is the current yield for the bond? What is the current yield for the bond?
Does this bond trade at a DISCOUNT or a PREMIUM?
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ISE Essentials Of Investments
Authors: Zvi Bodie, Alex Kane, Alan Marcus
12th International Edition
1265450099, 9781265450090
