Question
Suppose a 10-year, $1,000 bond with a 7% coupon rate and semiannual coupons is trading for a price of $1,195.23. A. What is the bond's
Suppose a 10-year, $1,000 bond with a 7% coupon rate and semiannual coupons is trading for a price of $1,195.23.
A. What is the bond's yield to maturity (expressed as an APR with semiannual compounding.)?
B. If the bonds yield to maturity changes to 9% APR what will the bond's price be?
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Handbook Of Alternative Assets
Authors: Mark J. P. Anson
2nd Edition
047198020X, 978-0471980209
