Question: You have been provided information below on 3 bonds. Assuming that you hold one of each bond and a par value of $100: Bond A

You have been provided information below on 3 bonds. Assuming that you hold one of each bond and a par value of $100:

Bond A

  • Time to Maturity = 6 Years
  • Coupon Rate = 5.3%
  • Yield to Maturity = 17.13%

Bond B

  • Time to Maturity = 4 Years
  • Coupon Rate = 6.7%
  • Yield to Maturity = 17.79%

Bond C

  • Time to Maturity = 7 Years
  • Coupon Rate = 8.8%
  • Yield to Maturity = 14.52%

A. What is the value of my bond portfolio today?

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