Question: The Saleemi Corporation s 1 000 bonds pay 5 percent interest annually

The Saleemi Corporation’s $1,000 bonds pay 5 percent interest annually and have 12 years until maturity. You can purchase a bond for $915.
a. What is the yield to maturity on this bond?
b. Should you purchase the bond if the yield to maturity on a comparable-risk bond is 9 percent?


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  • CreatedOctober 31, 2014
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