A company issued 30-year bonds, which are currently sold for $1055 per share. The bond's current yield to maturity is 7.75%. calculate the annual coupon rate of the bond. A. 7.87%, B. 8.22%, C.8.60%, D.9.05%, E.9.61%.
A company issued 30-year bonds, which are currently sold for $1055 per share. The bond's current yield to maturity is 7.75%. calculate the annual coupon rate of the bond. A. 7.87%, B. 8.22%, C.8.60%, D.9.05%, E.9.61%.
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 company issued 30-year bonds, which are currently sold for $1055 per share. The bond's current yield to maturity is 7.75%.
calculate the annual coupon rate of the bond.
A. 7.87%,
B. 8.22%,
C.8.60%,
D.9.05%,
E.9.61%.
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