A bond with a par value of $1,000 has an annual interest payment of $85. The bond

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A bond with a par value of $1,000 has an annual interest payment of $85. The bond currently sells for $850 and has 8 years to maturity. Which of the following is true?

A.) The current yield on the bond must be 8.5%

B.)The investor's required rate of return must be 8.5%

C.) The coupon rate must be 8.5%

D.) The yield to maturity must be 8.5%

Posted Date: Sep 29, 2021 08:28 PM

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A bond with a par value of $1,000 has an annual interest payment of $85. The bond

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