Question
Q28) A4.50%coupon,5.0 -year annual bond has a yield to maturity of3.27% .Assuming the par value is 1,000 and the YTM does not change over the
Q28) A4.50%coupon,5.0 -year annual bond has a yield to maturity of3.27% .Assuming the par value is 1,000 and the YTM does not change over the next year, Compute the following:
a) Price of the bond today
b) Price of the bond in one year
c) Capital gains yield%:
d) Current Yield%:
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Financial Markets and Institutions
Authors: Frederic S. Mishkin, Stanley G. Eakins
5th edition
321280299, 321280296, 978-0321280299
