Question
SAC Colleges issued bonds 5 years ago that now have 15 years left to maturity. When they were issued, the coupon rate of these bonds
SAC Colleges issued bonds 5 years ago that now have 15 years left to maturity. When they were issued, the coupon rate of these bonds was set at 9%. You are now considering purchasing these bonds at their listed price of 95. You believe bonds of similar risk are returning 8% but are unsure of this. If you buy the bonds at their current market price, what YTM will you earn?
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Alexander Hamilton On Finance Credit And Debt
Authors: Richard Sylla
1st Edition
0231174012, 978-0231184571
