Question
Jens Martel has a choice of two 5-year bonds and is seeking the highest return. Given the following information about each bond, which one should
Jens Martel has a choice of two 5-year bonds and is seeking the highest return. Given the following information about each bond, which one should he choose? Bond A's coupon is 4.15% and is priced at 101.25 per 100 Bond B's coupon is 3.45% and is priced at 97.90 per 100.
A. Both bonds have the same return
B. Bond B
C. Bond A
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Personal Finance
Authors: E Thomas Garman, Raymond E Forgue
10th Edition
143903902X, 9781439039021
