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Which of the following $100 face Value Bonds will have the highest Yield to Maturity 1. a 6% coupon bond selling for $85 2. A
Which of the following $100 face Value Bonds will have the highest Yield to Maturity 1. a 6% coupon bond selling for $85 2. A 7% coupon bond selling for $100 3. An 8% coupon bond selling for $115 2. If Presume you have a 1 year coupon bond that pays a 6% coupon that sells for $180 with a promise to pay $200 in 1 year, what is the Current yield? 3. Presume you purchase a bond for Apple Corporation that a 95% chance of paying at the end and a 5% chance of default. You purchase the $300 bond for $285. What is the expected value, what is the yield to maturity, and what is the risk premium give the rate risk free at 2.5%
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