1 you own bonds with 7 years remaining to maturity the, Ask an Expert

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1.. You own bonds with 7 years remaining to maturity. The bonds have a $10,000 par value, the coupon payment every year is $375, and the bonds have a yield to maturity of 4.9%. What is the current market price of these bonds?

2.. If the bond in Question 1 sold at par (price = face value), explain why the yield to maturity would be the same as the coupon rate.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92711927

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