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Today you paid $4,600 for a bond with following characteristics: Face Value = $5,000. Coupon rate = 9% semi-annual. Maturity = 15 years. What is
Today you paid $4,600 for a bond with following characteristics:
Face Value = $5,000. Coupon rate = 9% semi-annual. Maturity = 15 years.
- What is your YTM (Yield to Maturity)?
- Immediately after receiving your 9th coupon payment, you sell the Bond to Adam for $5,800.
What is your HPY?
- What is Adams yield to maturity?
- Immediately after receiving 8coupon payments, Adam sells the bond to Brenda. Brendas YTM = 10%. What is Adams HPY.
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