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Other Fields Homework Help Finance Topic started by: justxdrive on Jul 30, 2023



Title: A 13-year bond has an annual coupon rate of 8%. The coupon rate will remain fixed until the bond ...
Post by: justxdrive on Jul 30, 2023
A 13-year bond has an annual coupon rate of 8%. The coupon rate will remain fixed until the bond matures. The bond has a yield to maturity of 10%. Which statement regarding the bond’s price is true?


If market interest rates increase, the price of the bond will also increase.



The bond is currently selling at a price above its par value.



If market interest rates remain unchanged, the bond’s price one year from now will be higher than it is today.



The bond should currently be selling at its par value.



Title: Re: A 13-year bond has an annual coupon rate of 8%. The coupon rate will remain fixed until the bond ...
Post by: yoliness on Jul 30, 2023
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