You just paid $1,200 for a bond with the face value of $1,000. This bond pays a 6% coupon semi- annually, it has a term to maturity of 25 years. Assume that the last coupon has just been paid. What is the yield to maturity of the bond?a.5.52%b.2.32% c.4.64%d.3.76%e.6.39%
You just paid $1,200 for a bond with the face value of $1,000. This bond pays a 6% coupon semi- annually, it has a term to maturity of 25 years. Assume that the last coupon has just been paid. What is the yield to maturity of the bond?a.5.52%b.2.32% c.4.64%d.3.76%e.6.39%
Chapter6: Fixed-income Securities: Characteristics And Valuation
Section: Chapter Questions
Problem 8P
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