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Suppose a​ ten-year, $1,000 bond with an 8.0% coupon rate and semiannual coupons is trading for $1,034.74. a. What is th

Posted: Mon Mar 21, 2022 4:33 pm
by answerhappygod
Suppose a​ ten-year, $1,000 bond with an 8.0% coupon rate
and semiannual coupons is trading for $1,034.74.
a. What is the​ bond's yield to maturity​ (expressed
as an APR with semiannual​ compounding)?
b. If the​ bond's yield to maturity changes to 9.0% APR,
what will be the​ bond's price?