Determine the yield to maturity of the bond

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Reference no: EM133005910

Face Value of a bond is Rs. 1,000. The Bond is Redeemable after 4 years @ Rs.1,200/- Coupon rate is 8 % pa

Problem a) Determine the Yield to Maturity (YTM) of the Bond if it's present market price is Rs 1,050.

Problem b) if present market price increases, how will it impact the YTM? Will it increase, decrease or remain the same ?

Reference no: EM133005910

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