In March 2012, the French bank, RCI Banque, issued an 18-month bond with a face value of

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In March 2012, the French bank, RCI Banque, issued an 18-month bond with a face value of €10,000, and an annual coupon rate of 2 per cent, paid every quarter. The issue price was €9,984.50. What was its YTM?

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Corporate Finance

ISBN: 9780077173630

3rd Edition

Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe

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Question Posted: Feb 19, 2024 01:01 AM

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In March 2012, the French bank, RCI Banque, issued an 18-month bond with a face value of

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To calculate the Yield to Maturity YTM of the bond we can use the formula for YTM wh...View the full answer

Corporate Finance

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