Question
Today, you just paid $924.22 to buy a semiannual bond with 6 years to maturity. This bond carries 4% coupon rate and $1,000 par value.
Today, you just paid $924.22 to buy a semiannual bond with 6 years to maturity. This bond carries 4% coupon rate and $1,000 par value.
After exactly one year, the bonds YTM changes to 3.60%. What is the new price of the bond?
Group of answer choices
$924.22
$1,000.00
$1,018.15
$1,021.41
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The Financial System Financial Regulation And Central Bank Policy
Authors: Thomas F. Cargill
1st Edition
1107035678, 9781107035676
