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First Solar offers a 5.8% bond with a current market price of $823.50. The yield to...

First Solar offers a 5.8% bond with a current market price of $823.50. The yield to maturity is 8.18%. The face value (FV) is $1,000. Interest is paid semiannually. How many years is it until the bond matures?

    A.  
11.64 years

    B.  
23.27 years

    C.  
22.36 years

    D.  
28.40 years

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Answer #1

Hence the years to mature is 11.64 years (23.275/2)

Hence the correct option is A.11.64 years

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