Bond Prices A $1,000 par bond that pays interest semiannually has a quoted coupon rate of 7%, a promised yield to maturity of 4.3% and exactly 12 years to maturity. The present value of the coupon stream represents of the total bond's value. Multiple Choice 50.9% 52.0% 54.4% 53.1%

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Q: None

A:

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Q: 100 Half the statec

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A: Given:

Treasury Market

On-the-run securities are the most recently issued securities in the market depth and are therefore traded at some premium. The off-the-run securities are the ones issued just before the most recent ones. The on-the-run securities have a lower yield to the investor than the off-the-run securities.