Question
A three-year bond has 8.0% coupon rate and face value of $1000. If the yield to maturity or required yield on the bond is 10%,
A three-year bond has 8.0% coupon rate and face value of $1000. If the yield to maturity or required yield on the bond is 10%, will this bond trade as a market price that is:
A. at a premium, or above $1000
B. at par, or $1000
C. at a discount, or below $1000
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Financial Management Principles And Applications
Authors: Sheridan Titman
9th Edition
0655705457, 9780655705451
