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Posted on May 15, 2024

you purchase a bond which is priced at $875 today. It pays $80 a year in interest (i.e the coupon rate is 8%) and the

you purchase a bond which is priced at $875 today. It pays $80 a year in interest (i.e the coupon rate is 8%) and the bond matures after 10 years.

A) what is the current yield?

B) what is the yield to maturity?

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