Question
Suppose a seven-year, $1,000 bond with an 8.5% coupon rate and semi-annual coupons is trading with a yield to maturity of 6.38%. a. If the
Suppose a seven-year, $1,000 bond with an 8.5% coupon rate and semi-annual coupons is trading with a yield to maturity of 6.38%.
a. If the yield to maturity of the bond rises to 7.19% (APR with semi-annual compounding), what price will the bond trade for?
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Governance Of Financial Management
Authors: John Carver, Miriam Carver
1st Edition
0470392541, 9780470392546
