Question
Suppose a 10-year,$1,000 bond with an 8.8% coupon rate and semi-annual coupons is trading for a price of $1,035.24. a. What is the bond's yield
Suppose a 10-year,$1,000 bond with an 8.8% coupon rate and semi-annual coupons is trading for a price of $1,035.24.
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 9.5% APR, what will the bond's price be?
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Foundations In Personal Finance
Authors: Dave Ramsey
1st Edition
0981683967, 978-0981683966
