An n year 1000 par value bond with 6 5 annual coupons has an annual effective yield of i, i 0 The book value of the bond at the end of year 4 is 1224 68 and the book value at the end of year 6 is 1204 46 Calculate the purchase price of the bond 7 c 09 1215 1226 1249 1237 1260 An n year 1000 par va...

The purchase price of the bond is 1237 P ...

An n-year 1000 par value bond with 6.5% annual coupons has an annual effective yield of...

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Derivatives Markets

ISBN: 9789332536746

3rd edition

Authors: Robert McDonald

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