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The face value of a bond is $1000. It is trading at a price of 900 dollars. It pays a coupon on a semi-annual basis,
The face value of a bond is $1000. It is trading at a price of 900 dollars. It pays a coupon on a semi-annual basis, and the coupon rate is 20%. The bond will mature in 30 years. What is the yield to maturity?
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To solve for the yield to maturity we need to use the following formula P C r 1 1 ...
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Introduction to Operations Research
Authors: Frederick S. Hillier, Gerald J. Lieberman
10th edition
978-0072535105, 72535105, 978-1259162985
