A 17-year bond pays interest of $45 every six months and will mature for $1,000. Also assume that the yield to maturity on this bond is currently 7.82 percent. Given this information, determine the current price of this bond. O $1,103.15 O $1.095.23 $1.080.83 O $1,109.94 O $1.087.79

A 17-year bond pays interest of $45 every six months and will mature for $1,000. Also assume that the yield to maturity on this bond is currently 7.82 percent. Given this information, determine the current price of this bond. O $1,103.15 O $1.095.23 $1.080.83 O $1,109.94 O $1.087.79

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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A 17-year bond pays interest of $45 every six months and will mature for $1,000. Also assume that
the yield to maturity on this bond is currently 7.82 percent. Given this information, determine the
current price of this bond.
$1,103.15
O $1,095.23
$1.080.83
O $1,109.94
O $1,087.79

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