A bond has a par value of 1000 a time to maturity of 15


A bond has a par value of $1,000, a time to maturity of 15 years, and a coupon rate of 8.90% with interest paid annually. If the current market price is $890, what will be the approximate capital gain of this bond over the next year if its yield to maturity remains unchanged? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

 

Capital gain         $

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Financial Management: A bond has a par value of 1000 a time to maturity of 15
Reference No:- TGS01163165

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