Question
If a 1 year 5% coupon bond has a cash flows of $25 in 6 months and then 1025 in 12 months, then its price
If a 1 year 5% coupon bond has a cash flows of $25 in 6 months and then 1025 in 12 months, then its price today should be ____ if it has a negative yield.
A. less than 1025
B. more than 1025
C. more than 1050
D. less than 1050
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Cases In Financial Reporting
Authors: Ellen Engel, D. Eric Hirst, Mary Lea McAnally
7th Edition
1934319791, 9781934319796
