A company wishes to issue 10 year semi-annual pay bonds with a face value of $1,000 and

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A company wishes to issue 10 year semi-annual pay bonds with a face value of $1,000 and a coupon rate of 5%. The market has shifted before the issuance and the bonds will sell at 95% of face value. What is the YTM of the bonds when they are sold?

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Managerial Accounting

ISBN: 978-1118338445

2nd edition

Authors: Charles E. Davis, Elizabeth Davis

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Posted Date: May 14, 2024 01:49 PM

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A company wishes to issue 10 year semi-annual pay bonds with a face value of $1,000 and

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Yield to maturity YTM is the total return anticipated on a bond if it is held until it matures It i... View the full answer

Managerial Accounting

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