One year ago, a semiannual-pay bond with a 6% coupon rate and exactly 11 years left to maturity was trading at a price of 94.242% of its $1,000 par value. Since then, the bond's yield to maturity has increased by 125 basis points. What is the current price of the bond today?

Answer rating: 100% (QA)

To calculate the current price of the bond we need to take into account the change in yield to ... View the full answer