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Assume a 10,000 face value bond that is a zerocoupon bond with 18 years left til maturity. If the bond is currently trading at 2,500,
Assume a 10,000 face value bond that is a zerocoupon bond with 18 years left til maturity. If the bond is currently trading at 2,500,
- What is the bonds yield to maturity (YTM)?
- What is the implicit interest that must be reported to the IRS in year 17?
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