Question
Consider a zero coupon bond with only 2 years until maturity. It is currently selling for $900. 1. (5 points) What is the current yield
Consider a zero coupon bond with only 2 years until maturity. It is currently selling for $900.
1. (5 points) What is the current yield of the bond?
2. (10 points) What is the yield to maturity (YTM) of the bond?
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Introduction To Derivatives And Risk Management
Authors: Robert Brooks, Don M Chance
9th Edition
1133190197, 978-1133190196
