Answered: A $1000 par value 27 year bond recently…

A $1000 par value 27 year bond recently sold for $1065 the yield to maturity on the bond is 8.15% what is the bonds coupon rate, assuming payments are made annually?

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 $1000 par value 27 year bond recently sold for $1065 the yield to maturity on the bond is 8.15% what is the bonds coupon rate, assuming payments are made annually?

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