Question
What is yield to maturity of $1000 face-value 8% coupon bond with a selling price of $1010 that has 1 year left to maturity? Assuming
What is yield to maturity of $1000 face-value 8% coupon bond with a selling price of $1010 that has 1 year left to maturity? Assuming no inflation, under what conditions will this coupon bond have a negative yield (think about its selling price)? What about any coupon bond with any maturity?
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CFP Board Financial Planning Competency Handbook
Authors: CFP Board
2nd Edition
1119094968, 978-1119094968
