What is rate of interest earn on investment
Assignment:
Suppose you were offered a 14 year , 10% annual coupon, $ 1000 par value bond at a price of $ 1,494.93. What rate of interest would you earn on your investment?
A) 6.00%
B) 5.75%
C) 5.50%
D) 5.00%
Now Priced at $20 (50% Discount)
Recommended (99%)
Rated (4.3/5)
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You were offered a 14 year , 10% annual coupon, $ 1000 par value bond at a price of $ 1,494.93. What rate of interest would you earn on your investment?
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