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Fifteen years ago, Namson and Co. issued a 25-year coupon bonds. The yield to maturity at the time of issuance was 10% and the bonds
Fifteen years ago, Namson and Co. issued a 25-year coupon bonds. The yield to maturity at the time of issuance was 10% and the bonds sold at 120 percent of par value. The bonds are currently selling at 85 percent of par value. What is the current yield to maturity for these bonds.
Assume that the coupon is paid annually.
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