英语翻译A 20-year corporate bond has apar value of $1,000 and a
英语翻译
A 20-year corporate bond has a
par value of $1,000 and a 9 percent annual coupon rate.Assume that your required rate
of return is 10 percent and that you plan to hold on to this bond for 5 years.
You,and the market,have expectations that in 5 years the yield to maturity
for this bond(or another bond with similar risk and maturity) will be 8.5
percent.How much are you willing to pay for this bond today?