Question: If a $ 8 , 0 0 0 face - value discount bond maturing in one year is selling for $ 5 , 0 0

If a $8,000 face-value discount bond maturing in one year is
selling for $5,000, then its yield to maturity is
5 percent.
60 percent.
50 percent.
100 percent.
 If a $8,000 face-value discount bond maturing in one year is

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!