What is the bond yield to maturity

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Reference no: EM131989921

Suppose a ten-year, $ 1,000 bond with an 8.6 % coupon rate and semiannual coupons is trading for $ 1,034.39.

a. What is the bond's yield to maturity? (expressed as an APR with semiannual compounding)?

b. If the bond's yield to maturity changes to 9.1 % APR, what will be the bond's price?

Reference no: EM131989921

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