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Consider a bond being sold in the primary market with the following characteristics: currently priced at $1,000 which has 3 years to maturity, a 6%
- Consider a bond being sold in the primary market with the following characteristics: currently priced at $1,000 which has 3 years to maturity, a 6% annual coupon rate, and a face value of $1,000 at maturity.
- What is the yield to maturity on the bond?
- After one year, the interest rate increases 3%. If you decide to sell the bond then, what is
- your rate of return?
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Fundamentals Of Multinational Finance
Authors: Michael Moffett, Arthur Stonehill, David Eiteman
6th Edition
0134472136, 978-0134472133
