A coupon bond with a face value of $1000 pays an annual coupon of $60. The required rate of return of this bond is 5%. Y

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answerhappygod
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A coupon bond with a face value of $1000 pays an annual coupon of $60. The required rate of return of this bond is 5%. Y

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A coupon bond with a face value of $1000 pays an annual coupon of $60. The required rate of return of this bond is 5%. You looked it up and found that the price of this bond is $989.6. Is the price reasonable and why?
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