Business, 12.08.2020 08:01 mcalepcrager

Even though most corporate bonds in the United States make coupon payments semiannually, bonds issued elsewhere often have annual coupon payments. Suppose a German company issues a bond with a par value of ? 1000, 25 years to maturity, and a coupon rate of 6.4 percent paid annually. If the yield to maturity is 7.5 percent, what is the current price of the bond?

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Even though most corporate bonds in the United States make coupon payments semiannually, bonds issue...

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