Vancouver Harbour Excrusions (VHE) has a $100 facevalue bond with a 3.5% cupon rate, paid quartarly. If the bond's current yield to maturity is 4.8%, which of the following statemens is true? a) the bond price is less than 100$ b) you would need to know the maturity to determine the answer c) The bond price is greater than $100 d) the bond price is $100
Vancouver Harbour Excrusions (VHE) has a $100 facevalue bond with a 3.5% cupon rate, paid quartarly. If the bond's current yield to maturity is 4.8%, which of the following statemens is true? a) the bond price is less than 100$ b) you would need to know the maturity to determine the answer c) The bond price is greater than $100 d) the bond price is $100
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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Vancouver Harbour Excrusions (VHE) has a $100 facevalue bond with a 3.5% cupon rate, paid quartarly. If the bond's current yield to maturity is 4.8%, which of the following statemens is true?
a) the
b) you would need to know the maturity to determine the answer
c) The bond price is greater than $100
d) the bond price is $100
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