You are considering buying one of the two bonds. Bond A has a par value of $2,000, pays 8% coupon annually and matures in 3 years. Bond B has the same characteristics except that it pays coupons semi - annually. Both bonds provide the same yield of 7 percent. Find the prices of these bonds.

Answer rating: 100% (QA)

To find the prices of the bonds we need to use the present valu... View the full answer