Question
Compute the annualized yield-to maturity of a bond with a 1,000 face value, an annual coupon rate of 6%, and a maturity of 40 years.
Compute the annualized yield-to maturity of a bond with a 1,000 face value, an annual coupon rate of 6%, and a maturity of 40 years. The current market price of the bond is 760.85. Coupon interest payments are made semi-annually.
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6%
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7%
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8%
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9%
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Finance Applications And Theory
Authors: Marcia Cornett, Troy Adair, John Nofsinger
2nd Edition
0073530670, 9780073530673
