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Posted on Aug 11, 2024

(Yield to maturity)The Saleemi Corporation's $1,000 bonds pay 12 percent interest annually and have 11 years until maturity. You can purchase the bond for $1,075.

a. What is the yield to maturity on this bond?

b. Should you purchase the bond if the yield to maturity on a comparable-risk bond is 12 percent?

a. The yield to maturity on the Saleemi bonds is %. (Round to two decimal places.)

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