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If Sheel Inc. has 7 percent coupon (compounded semiannually) bonds on the market with 10 years to maturity, and the par value of $1,000. AT
If Sheel Inc. has 7 percent coupon (compounded semiannually) bonds on the market with 10 years to maturity, and the par value of $1,000. AT what price should the bonds be selling for if the YTM is 5%? If the bond had been selling at $919, what would be the YTM (assuming the same coupon., maturity and par value)? What would be the relationship between YTM and bond price?
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