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ABSA Ltd bonds mature in 8 years and have a yield to maturity of 12.52 percent. The par value of the bonds is R826. The
ABSA Ltd bonds mature in 8 years and have a yield to maturity of 12.52 percent. The par value of the bonds is R826. The bonds have a 9.8 percent coupon rate and pay interest on a quarterly basis.
Required:
1. Find the current price of the bond.
2. Find the current yield of the bond.
3. Find the capital gains yield or loss.
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