Question: Answer is not 1 7 5 2 . 5 8 Part 1 Suppose a 1 0 - year, $ 1 , 0 0 0 bond

Answer is not

1752.58

Part

1

Suppose a

10 -

year,

1, 000

bond with a coupon rate of

8.5 %

and semiannual coupons is trading for

1, 035.32 .

.

What is the

bond's yield to maturity

(

expressed as an APR with semiannual

compounding

) ?

.

If the

bond's yield to maturity changes to

9.7 %

APR

,

what will be the

bond's price?

Part

1

.

What is the

bond's yield to maturity

(

expressed as an APR with semiannual

compounding

) ?

The

bond's yield to maturity is

(

Round to two decimal

places.

)

)

If the

bond's yield to maturity changes to

9.7 %

APR

,

what will be the

bond's price?

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