A bond was issued three years ago at a price of $934 with a maturity of six years, a yield-to-maturity (YTM) of 4.75% compounded semi-annually, and a face value of $1,000 with semi-annualy coupons. What is the price of this bond today immediately after the receipt of today's coupon if the YTM has fallen to 3.50% compounded semi-annually?
Question 14 options:
$974 |
|
$999 |
|
$1,024 |
|
$1,049 |
|
$1,074 |
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