Question
You find a bond with a semi- coupon of % and a yield of %. What must happen to price of this bond as it
You find a bond with a semi- coupon of % and a yield of %. What must happen to price of this bond as it nears maturity if the yield remains constant ?
A. It must fall
B. It must rise
C. It must stay constant
D. There is no way to tell what will happen to the price of this bond
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Modern Financial Markets Prices, Yields, And Risk Analysis
Authors: Mark Griffiths, Drew Winters, David W Blackwell
1st Edition
0470000104, 9780470000106
