Question
Red corp has 8 year $1000 par value bond with a 12% annual coupon outstanding. The yield to maturity is 6.5%. What is the price
Red corp has 8 year $1000 par value bond with a 12% annual coupon outstanding. The yield to maturity is 6.5%.
What is the price of this bond today?
What is the price of the bond one year from now if intrest rates stays the same?
What are the current yield,capital gain yield and total return?
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Essentials Of Investments
Authors: Zvi Bodie, Alex Kane, Alan Marcus
11th Edition
1260288390, 978-1260288391
