Question:A
BBB-rated corporate bond has a yield to maturity of 6.1% a US
treasury security has...
Question
A
BBB-rated corporate bond has a yield to maturity of 6.1% a US
treasury security has...
A
BBB-rated corporate bond has a yield to maturity of 6.1% a US
treasury security has yield to maturity of 4.8%.these yield are
quoted as APRs with semiannual compounding.both bonds pay
semi-annual coupons at a rate of 7.5% and have five years to
maturity
a.what is the price (expressed as a percentage of the face
value) of the treasury bond ?
b.what is the price (expressed as a percenatge of the face
value ) of the BBB-rated corporate bond?