Question
You possess a $1,000 bond having a 5% coupon rate with 20 years to maturity and the current interest rate is 9%. Interest is paid
You possess a $1,000 bond having a 5% coupon rate with 20 years to maturity and the current interest rate is 9%. Interest is paid annually. What is the current market price for this bond? Then 15 years elapse, what is the current price of the bond if everything else stays the same?
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Personal Finance
Authors: Jack R Kapoor, Glencoe McGraw Hill, Les R Dlabay, Robert J Hughes
1st Edition
0078698006, 9780078698002
