Why does the market price of a security vary from the true equilibrium price?

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Essentials of Corporate Finance

ISBN: 978-1118868416

1st edition

Authors: Robert Parrino, David S. Kidwell, Thomas Bates

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Question Posted: Mar 31, 2017 02:18 PM

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Why does the market price of a bond vary over time?
How is the market price of a security determined?
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Why does the market price of a security vary from the true equilibrium price?

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Let us start by first defining the market equilibrium price ...View the full answer

Essentials of Corporate Finance

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