Question
You are contemplating purchasing the Xinsu Company 3 7/8% bonds due in 12 years. The bonds are currently trading at a 3.70%% yield to maturity.
You are contemplating purchasing the Xinsu Company 3 7/8% bonds due in 12 years. The bonds are currently trading at a 3.70%% yield to maturity. To purchase $65,000 in face value, the cost would be closest to:
| A. | $66,094.23. | |
| B. | $66,086.38. | |
| C. | $63,916.62. |
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Financial Theory and Corporate Policy
Authors: Thomas E. Copeland, J. Fred Weston, Kuldeep Shastri
4th edition
321127218, 978-0321179548, 321179544, 978-0321127211
