roke Benjamin Co. has a bond outstanding that makes semiannual payments with a coupon rate of 5.5 percent. The bond sells for $938.52 and matures in 11 years. The par value is $1,000. What is the YTM of the bond?

Essentials Of Investments
11th Edition
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Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Broke Benjamin Co. has a bond outstanding that makes semiannual payments with a coupon rate of 5.5 percent. The bond sells for $938.52 and matures in 11 years. The par value is $1,000. What is the YTM of the bond?

 

Multiple Choice
  •  

    5.65%

  •  

    6.28%

  •  

    4.71%

  •  

    5.97%

  •  

    3.14%

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