Question
XYZ Corporation issued a 7-year, $300M fixed-coupon bond two years ago today. The bond now has 5 years to maturity and pays a coupon of
XYZ Corporation issued a 7-year, $300M fixed-coupon bond two years ago today. The bond now has 5 years to maturity and pays a coupon of 7% annually. The yieldto-maturity of the bond that you see on your Bloomberg screen is 4.5% (annualized).
Assume the face value (par value) of the bond is $100, i.e. each coupon is $7. Calculate the bond price as of today.
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Dave Ramseys Complete Guide To Money
Authors: Dave Ramsey
1st Edition
1937077209, 978-1937077204
