Question
You purchase an eight-year bond with a current yield of 5.50% and a coupon of 5.50% (annuity). Yields-to-maturity committed in one year rose to 6.50%.
You purchase an eight-year bond with a current yield of 5.50% and a coupon of 5.50% (annuity). Yields-to-maturity committed in one year rose to 6.50%. assume the current price of bond.
Required;
What is your holding time return?
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Current Price of the Bond 1000 Bond Price at 550 current yield and a ...
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Fundamentals Of Investing
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
14th Edition
0135175216, 978-0135175217
