Assume a bond with a coupon rate of 55 and 7 years to


Assume a bond with a coupon rate of 5.5 % and 7 years to maturity is traded at $102.50 per $100 face value.

(a) What is its approximate YTM?

(b) What is the investor's rate of return?

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Microeconomics: Assume a bond with a coupon rate of 55 and 7 years to
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