Question
A Ford Motor Co. coupon bond has a coupon rate of 6.55%, and pays annual coupons. The next coupon is due tomorrow and the bond
A Ford Motor Co. coupon bond has a coupon rate of 6.55%, and pays annual coupons. The next coupon is due tomorrow and the bond matures 36 years from tomorrow. The yield on the bond issue is 6.25%. At what price should this bond trade today, assuming a face value of $1000?
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Fundamentals Of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
5th Edition
0135811600, 978-0135811603
