Question
Assume that you are considering the purchase of a 15-year bond with an annual coupon rate of 9.5%. The bond has face value of $1,000
Assume that you are considering the purchase of a 15-year bond with an annual coupon rate of 9.5%. The bond has face value of $1,000 and makes semiannual interest payments. If you require an 11.0% nominal yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?
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Managerial Decision Modeling Business Analytics With Spreadsheet
Authors: Nagraj Balakrishnan, Barry Render, Ralph Stair, Charles Munson
4th Edition
1501515101, 978-1501515101
