Question
A consol bond has a coupon rate of 6% paid annually and is currently trading at a yield of 7.0%. What should the price of
A consol bond has a coupon rate of 6% paid annually and is currently trading at a yield of 7.0%. What should the price of the bond be?
A. $857.14
B. $1,166.67
C. $1,000.00
D. $932.86
E. $1,545.45
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Personal Finance
Authors: E. Thomas Garman, Raymond E. Forgue
13th edition
1337099759, 978-1337516440, 1337516449, 978-1337099752
