Question
Consider a three-year 6% coupon bond selling at par value, annual coupon. If the investor of the bond holds the bond till maturity and manages
Consider a three-year 6% coupon bond selling at par value, annual coupon. If the investor of the bond holds the bond till maturity and manages to invest all the coupons at 8% after receiving them, what is the Realized Compound Return for their 3-year investment?
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3year 6 coupon bond at par 100 Annual coupon is 6 of par 6 per year ...
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Introduction to Operations Research
Authors: Frederick S. Hillier, Gerald J. Lieberman
10th edition
978-0072535105, 72535105, 978-1259162985
