Question
A bond with 5 years to maturity, a face value of $1,000 and a coupon rate of 9.0% is selling for $950. What is its
A bond with 5 years to maturity, a face value of $1,000 and a coupon rate of 9.0% is selling for $950. What is its yield to maturity? If the yield changes to 9.0%, what will be the new price of the bond? (Assume annual coupon payments.)
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
15th edition
1337671002, 978-1337395250
