Page 1 of 1

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

Posted: Wed Mar 16, 2022 9:11 am
by answerhappygod
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?