BER Your current CD matures in a few days. You would like to find an investment with a higher rate of return than the
CD. Stocks historically have a rate of return between 10% and 12%, but you do not like the risk involved. You
have been looking at bond listings in the newspaper. A friend wants you to look at the following corporate bonds
as a possible investment.
Bond
Cur. Yid. Voi Close Net. Chg.
7.5 128 3
ABC 7-15
104
2
4.
3
8.4
17
1 1
XYZ 7- 15
100-
2 4
4.
What was the price of the XYZ bond on the previous day?
2
100
6
a.
b
3
100%
C.
1
1004