Question
Suppose aseven-year, $1,000 bond with a 9.31 % coupon rate and semiannual coupons is trading with a yield to maturity of 7.43 % . b.
Suppose aseven-year, $1,000 bond with a 9.31 % coupon rate and semiannual coupons is trading with a yield to maturity of 7.43 % .
b. If the yield to maturity of the bond rises to 7.87% (APR with semiannualcompounding), at what price will the bondtrade?
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Operations management
Authors: Jay Heizer, Barry Render
10th edition
978-0136119418, 136119417, 978-0132163927
