Find the yield an investor would realize

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Preston Corporation has a bond outstanding with a $80 annual interest with a semiannual coupon payment, a market price of $1,073, and a maturity date in 10 years. Assume the par value of the bonds is $1,000.

Problem 1: Find the following:

a. The coupon rate
b. The current yield
c. The yield to maturity
d. The yield an investor would realize if coupon payments were reinvested at 10 percent

Reference no: EM132752480

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