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What is the yield to maturity at the current market price

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Reference no: EM131402198

If ABC Co. has bonds with 4 years remaining to maturity. Coupons are paid annually, the bonds have a $1,000 par value and coupon interest rate is 8%.

a. What is the yield to maturity at the current market price of $1,210?

b. Would you buy one of these bonds if your required rate of return is 10%?

Reference no: EM131402198

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