Question
(TCO D) A bond currently sells for $1,050 even though it has a par of $1,000. It was issued one year ago and had a
(TCO D) A bond currently sells for $1,050 even though it has a par of $1,000. It was issued one year ago and had a maturity of 10 years. The coupon rate is 7% and the interest payments are made semiannually. What is its YTM? (Show workings)
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Public Finance and Public Policy
Authors: Jonathan Gruber
5th edition
1464143331, 978-1464143335
