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A two-year bond with par value $1,000 making annual coupon payments of $90 is priced at $1,000. a. What is the yield to
Posted: Mon May 30, 2022 7:26 am
by answerhappygod
- A Two Year Bond With Par Value 1 000 Making Annual Coupon Payments Of 90 Is Priced At 1 000 A What Is The Yield To 1 (17.92 KiB) Viewed 16 times
A two-year bond with par value $1,000 making annual coupon payments of $90 is priced at $1,000. a. What is the yield to maturity of the bond? (Round your answer to 1 decimal place.) Yield to maturity 90% ces b. What will be the realized compound return if the one-year interesate next year turns out to be (a) 7.0 %, (b) 9.0 %, (c) 11.0 % ? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Interest Rate Realized Compound Return. 7.0% 12.96 % 9.0 % 13.40 % 11.0% 13.56 % < Prev 8 of 11 Next >