Question
A coupon bond that pays interest annually has a par value of $1,000, matures in 8 years, and has a yield to maturity of 9%.
A coupon bond that pays interest annually has a par value of $1,000, matures in 8 years, and has a yield to maturity of 9%. The intrinsic value of the bond today will be ______ if the coupon rate is 6%.
A. $886.28
B. $833.96
C. $620.92
D. $1,123.01
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Cases In Healthcare Finance
Authors: Louis Gapenski
5th Edition
1567936113, 978-1567936117
