Question: If a bond's yield to maturity does not change the return on the bond each year will be equal to the yield to maturity Confirm


If a bond's yield to maturity does not change the return on the bond each year will be equal to the yield to maturity Confirm this for both a premium and a discount bond using a 4-year 3.9 percent coupon bond with annual coupon payments and a face value of $1,000 0. Assume the yield to maturity is 2.9 percent b. Assume the yield to maturity is 4 9 percent Complete this question by entering your answers in the tabs below. Required A Required B Assume the yield to maturity is 2.9 percent. (Do not round Intermediate calculations. Enter "Bond price answers to 2 decimal places and "Rate of return" rounded to 1 decimal place.) Bond price today Bond price in one year Rate of return % Required A Required B Assume the yield to maturity is 4.9 percent. (Do not round intermediate calculations. Enter "Bond price" answers to 2 decimal places and "Rate of return" rounded to 1 decimal place.) Bond price today Bond price in one year Rate of return
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