Suppose on 09 18 2020 you observe the following quote for corporate bonds of Home Depot Assume that the bonds make semi annual payments Find YTM for the bonds Use Excel, state your result and Excel function inputs Issue Price Coupon( ) Maturity Home Depot Inc 93 51 5 875 16 Dec 36 What can be said about expected rate of investment return on the Home Depot bonds if they are AA rated What would be your answer to question b) if you learn that the rating of the bonds is BBB

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Suppose on 09/18/2020 you observe the following quote for corporate bonds of Home Depot. Assume that the bonds make semi-annual payments. Find YTM for the

Suppose on 09/18/2020 you observe the following quote for corporate bonds of Home Depot. Assume that the bonds make semi-annual payments.

Find YTM for the bonds. Use Excel, state your result and Excel function inputs

Issue Price Coupon(%) Maturity

Home Depot Inc 93.51 5.875 16-Dec-36

What can be said about expected rate of investment return on the Home Depot bonds if they are AA-rated?
What would be your answer to question b) if you learn that the rating of the bonds is BBB?

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