Question
Suppose a 10-year, $1,000 bond with an 8.6% coupon rate and semi-annual coupons is trading for $1,034.12. a. What is the bond's yield to maturity
Suppose a 10-year, $1,000 bond with an 8.6% coupon rate and semi-annual coupons is trading for $1,034.12.
a. What is the bond's yield to maturity (expressed as an APR with semi-annual compounding)?
b. If the bond's yield to maturity changes to 9.1% APR, what will be the bond's price?
a. What is the bond's yield to maturity (expressed as an APR with semiannual compounding)?
The bond's yield to maturity is ____ % (Round to two decimal places.)
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M: Finance
Authors: Marcia Cornett, Troy Adair, John Nofsinger
5th Edition
1260772357, 9781260772357
