Question
Martinez Motors bonds have 15 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 9
Martinez Motors bonds have 15 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 9 percent; and the yield to maturity is 6 percent. What is the bonds current market price?
| a. | $874.10 | |
| b. | $1,182.98 | |
| c. | $1,090.00 | |
| d. | $1,000.00 | |
| e. | $1,291.37 |
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Essential Mathematics For Economic Analysis
Authors: Knut Sydsaeter, Peter Hammond
3rd Edition
0273713248, 9780273713241
