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You are looking at two bonds. One is a $100 face value discount bond maturing in three years that sells for $90.

The other is a three-year bond with the same $100 face value selling at par but with the coupon rate of 10%.

What are the yields to maturity and duration of the two bonds?

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92742420

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