Question
a) Consider a bond that has a face value of $2,500, has a 8% p.a. coupon rate and makes semi annual interest payments. Five years
a) Consider a bond that has a face value of $2,500, has a 8% p.a. coupon rate and makes semi annual interest payments. Five years are left for the bond to mature and the market interest rate is 10%. What is the purchase price of this bond?
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International Finance Transactions Policy And Regulation
Authors: Hal S. Scott
15th Edition
159941547X, 978-1599415475
