Question
An 8 percent $1,000 bond matures in 4 years, pays interest semiannually , and has a yield to maturity of 12 percent. What is the
An 8 percent $1,000 bond matures in 4 years, pays interestsemiannually, and has a yield to maturity of 12 percent. What is the current market price of the bond? (Choose the closest answer)
Select one:
a. $875.80
b. $801.38
c. $970.69
d. $768.76
e. $910.27
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Financial Management Theory and Practice
Authors: Eugene F. Brigham, Michael C. Ehrhardt
16th edition
1337902608, 978-1337902601
