Question
Instructor's note: Answer the following question using MS-Excel. Make sure you use list all variables necessary and show all work. An investor just purchased a
Instructor's note: Answer the following question using MS-Excel. Make sure you use list all variables necessary and show all work.
An investor just purchased a $1,000 face value bond issued by ABC Corporation for $1,282.71 cash. The bond has 25 years remaining until maturity and pays interest semi-annually at a coupon rate of 8.50%. Based on this transaction, what will the investors yield to maturity (YTM) be on this bond?
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Financial Management For Public Health And Not-for-Profit Organizations
Authors: Steven A. Finkler, Daniel L. Smith, Thad D. Calabrese, Robert M. Purtell
7th Edition
1071835335, 978-1071835333
