Question: What is the approximate yield over the 4 year window on a 10% coupon bond, $1000 par, which is currently selling for $940, if you
What is the approximate yield over the 4 year window on a 10% coupon bond, $1000 par, which is currently selling for $940, if you plan to hold it for 4 years? In 4 years you expect the discount rate on similar bonds to be 8%? The maturity of the bonds today is 10 years.
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