Determine hat is the ytm on the bond

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Problem a. Consider an 8-year, 12 percent coupon bond with a par value of $100 on which interest is payable semi-annually. The required return on this bond is 14. What is the value of the bond?

Problem b. Consider a $1 000 par value bond, carrying a coupon rate of 9%, maturing after 8 years. The bond is currently selling for $800. What is the YTM on this bond?

Reference no: EM132950472

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