A 3-year, 6% coupon, semi-annual pay note has a yield to maturity of 5.5%. If an investor

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A 3-year, 6% coupon, semi-annual pay note has a yield to maturity of 5.5%. If an investor holds this note to maturity and earns a 4.5% return on reinvested coupon income.

What is his realized yield by the end of year 3?

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Fundamentals Of Corporate Finance

ISBN: 9780135811603

5th Edition

Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford

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Posted Date: May 08, 2023 01:22 AM

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A 3-year, 6% coupon, semi-annual pay note has a yield to maturity of 5.5%. If an investor

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Fundamentals Of Corporate Finance

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