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Problem ONE: A company issued 25-year bonds AT PAR with a 4.75% coupon paid annually. After 4 years market interest rates remained unchanged CY= YTM=
Problem ONE: A company issued 25-year bonds AT PAR with a 4.75% coupon paid annually. After 4 years market interest rates remained unchanged CY= YTM= CGY= What is the bond's current yield, capital gains yield & YTM? After another 9 years the bond's price is $995 CY= YTM= CGY = What is the bond's current yield, capital gains yield & YTM? After another 6 years the bond's price is $1125 CY= YTM= CGY= What is the bond's current yield, capital gains yield & YTM? After another 2 years the bond is priced with a YTM of 6 percent (YTM) PRICE: CY= What is the bond's PRICE & current yield
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