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For #7, I got I (per 6 months) = 2.6% But how can I transform this to YTM? hat is the bond's yield to maturity
For #7, I got I (per 6 months) = 2.6%
But how can I transform this to YTM?
hat is the bond's yield to maturity it the price of tubondl WhatistheYTMonthefollowingbond?Facevalue-51 000 coupon rate = 796, coupons paid semi-annually; 6 years to maturity remaining 6. a) Current price of $1,000? b) Current price of $1,200? c) Current price of $875.20? 7. What is the YTM coupon rate = 5%,9 years to maturity remaining; current price of $9,856.40. onthe following semi-annual coupon Treasury? Face value = $10,000; Your great aunt (sadly) just passed. However, she left you $10,000 to invest specifically i. bonds (she specified this in her will). You look at interest rates right now and consider them to be quite high, and you expect that they will be falling in the near term. Answer following two questions (and explain your answer with specific intuition): 8. a) Given the choice between 5-year and 10-year maturity bonds, which should you buy? Given the choice between 7-year annual coupon bonds and 7-year zero-coupon bonds which should you buy? b)Step by Step Solution
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