Question
Toy World bonds have a face value of $1,000, mature in 3 years, pay interest semiannually, and have a coupon rate of 4.5 percent. The
Toy World bonds have a face value of $1,000, mature in 3 years, pay interest semiannually, and have a coupon rate of 4.5 percent. The next interest payment will be paid 4 months from today. 1) What is the clean price of this bond if the market rate of return is 5 percent? 2) What is the current yield? 3) What is the dirty price if you buy this bond today?
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Options Futures And Other Derivatives
Authors: John C. Hull
3rd Edition
0131864793, 9780306457555
