Question
The box contains part of the term structure of Treasury rates. Compute the price of a $1000 par, 2.4% coupon bond with exactly 1 year
The box contains part of the term structure of Treasury rates. Compute the price of a $1000 par, 2.4% coupon bond with exactly 1 year to maturity. All rates are APRs with semi-annual compounding and the bond pays coupons semi-annually.
| Term | Yield |
| 6 months | 0.012 |
| 1 year | 0.016 |
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Personal Finance
Authors: Jack R Kapoor, Glencoe McGraw Hill, Les R Dlabay, Robert J Hughes
1st Edition
0078698006, 9780078698002
