A corporate bond pays semi - annual coupons at 8 % and will mature in 8 years.

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Question:

A corporate bond pays semi

-

annual coupons at

8 %

and will mature in

8

years. What is the price of the bond if its face value is $

1000

and its yield to maturity is

9 % ?

Related Book For answer-question

Introduction To Corporate Finance

ISBN: 9781118300763

3rd Edition

Authors: Laurence Booth, Sean Cleary

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Posted Date: Mar 16, 2024 04:19 AM

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A corporate bond pays semi - annual coupons at 8 % and will mature in 8 years.

Question:

Expert Answer:

To calculate the price of the bond we need to discount the cash flows of the semiannual co... View the full answer

Introduction To Corporate Finance

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