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Assume you bought a 10-year bond three years ago and paid $1,079.63. The bond is a semi- annual coupon bond with a 6% coupon rate.
Assume you bought a 10-year bond three years ago and paid $1,079.63. The bond is a semi- annual coupon bond with a 6% coupon rate. It is now priced at $1.204.89. What would be your effective annual yield (EAY) if you sell it today?
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To calculate the effective annual yield EAY if you sell the bond today we need to use the formula fo...
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Fundamentals of Investment Management
Authors: Geoffrey Hirt, Stanley Block
10th edition
0078034620, 978-0078034626
