Question
Five years ago you purchased a $1,000 par 12-year bond with an 8.5% semi-annual coupon at a price of $1,275. If the current price is
Five years ago you purchased a $1,000 par 12-year bond with an 8.5% semi-annual coupon at a price of $1,275. If the current price is $965, what is the yield to maturity of the bond today?
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A. 8.98%
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B. 3.96%
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C. 5.36%
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D. 9.19%
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ISE International Financial Management
Authors: Cheol Eun, Bruce Resnick, Tuugi Chuluun
9th International Edition
1260575314, 9781260575316
