Assume that Peter purchased a 24-year, 5.28 percent coupon (annual payments) bond at par ($1,000). He...

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Assume that Peter purchased a 24-year, 5.28 percent coupon (annual payments) bond at par ($1,000). He sold the bond after 6 years for $827.25. He reinvested the coupon payments at the 3.71 percent compounded annually. Calculate bond's total yield. Assume that Peter purchased a 24-year, 5.28 percent coupon (annual payments) bond at par ($1,000). He sold the bond after 6 years for $827.25. He reinvested the coupon payments at the 3.71 percent compounded annually. Calculate bond's total yield.

Answer rating: 100% (QA)

face value 1000 Coupon rate 528 Coupon Coupon rate face value 520 a00 10 528 Bice ... View the full answer