Question
A GM and a Ford bond both have 4 years to maturity, a $1,000 par value, a BB rating and pay interest semiannually. GM has
A GM and a Ford bond both have 4 years to maturity, a $1,000 par value, a BB rating and pay interest semiannually. GM has a coupon rate of 6.9%, while Ford has a coupon rate of 5.5%. Attempt 1/5 for 10 pts. Part 1 The GM bond trades at 98.3 (percent of par).
What is the yield to maturity (YTM)?
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The Oxford Handbook Of Entrepreneurial Finance
Authors: Douglas Cumming
1st Edition
0195391241, 978-0195391244
