Question
New Homes has a bond issue with a coupon rate of 5.5 percent that matures in 8.5 years. The bonds have a par value of
New Homes has a bond issue with a coupon rate of 5.5 percent that matures in 8.5 years. The bonds have a par value of $1,000 and a market price of $972. Interest is paid semiannually. What is the yield to maturity?
Question options:
|
| 5.74 percent |
|
| 5.92 percent |
|
| 5.61 percent |
|
| 6.42 percent |
|
| 6.36 percent |
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International Financial Management
Authors: Jeff Madura
7th Edition
0324071744, 978-0324071740
