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An investor believes a bond can be sold in three years at a price of $935. Currently the bond has a price of $900 and
An investor believes a bond can be sold in three years at a price of $935. Currently the bond has a price of $900 and 4% coupon rate, $1,000 par value and ten years until maturity. The investor has a realized compound yield of 5.65%.
- A. True
- B. False
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