Question
Three years ago you purchased a $1,000 par 12-year bond with a 3.5% semi-annual coupon at a price of $875. If the current price is
Three years ago you purchased a $1,000 par 12-year bond with a 3.5% semi-annual coupon at a price of $875. If the current price is $965, what was the yield to maturity of the bond when it was purchased? A. 4.89% B. 3.97% C. 3.87% D. 5.26%
You purchased a $1,000 bond with a 4.6% semi-annual coupon and 15 years to maturity four years ago at a price of $855. If the yield has remained constant, what should be the price of the bond today? A. $971.56 B. $881.95 C. $547.34 D. $905.68
A 15-year, $1,000 par bond with a 6.5% semi-annual coupon currently trades at a price of $1,215. If the yield to maturity of the bond remains constant, what will be its price in six years? A. $1,145.73 B. $1,103.49 C. $846.71 D. $1,080.16 E. $1,268.00
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