A bond has a 1000 par value 8 years to maturity and a 7, Ask an Expert

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A bond has a $1,000 par value, 8 years to maturity, and a 7% annual coupon and sells for $980. a.What is its yield to maturity (YTM)? Round your answer to two decimal places. b.Assume that the yield to maturity remains constant for the next 2 years. What will the price be 2 years from today? Round your answer to the nearest cent.

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