Q#7. Suppose a five-year bond with a 8% coupon rate and semiannual compounding is trading for...
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Q#7. Suppose a five-year bond with a 8% coupon rate and semiannual compounding is trading for a price of $922.58. Expressed as an APR with semiannual compounding, this bond's yield to maturity (YTM) is: Q#8 Consider a bond that pays annually an 5% coupon with 20 years to maturity. How much will the price of the bond change iff its yield to maturity increases from 4% to 7%? Q#7. Suppose a five-year bond with a 8% coupon rate and semiannual compounding is trading for a price of $922.58. Expressed as an APR with semiannual compounding, this bond's yield to maturity (YTM) is: Q#8 Consider a bond that pays annually an 5% coupon with 20 years to maturity. How much will the price of the bond change iff its yield to maturity increases from 4% to 7%?
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