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The Saleemi Corporation's $1,000 bonds pay 8 percent interest annually and have 14 years until maturity. You can purchase the bond for $1,095. a.What is
The Saleemi Corporation's
$1,000
bonds pay
8
percent interest annually and have
14
years until maturity. You can purchase the bond for
$1,095.
a.What is the yield to maturity on this bond?
b.Should you purchase the bond if the yield to maturity on a comparable-risk bond is
8
percent?
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