Elaine Wong has purchased an 8% coupon bond for $1

财务会计 已帮助: 时间:2024-11-17 17:30:36

Elaine Wong has purchased an 8% coupon bond for $1,034.88 with 3 years to maturity. At what rate must the coupon payments be reinvested to produce a 5% yield-to-maturity rate?
A. 8%
B. 6.5%
C. 5%

难度:⭐⭐⭐

题库:财会类考试,特许金融分析师(C,CFA一级

标签:for,bond,to

参考解答

用户头像

406***102

2024-11-17 17:30:36

Ans:C
C is correct. Yield-to-maturity measure assumes that the coupon payments can be reinvested at the yield-to-maturity.
In this case, it’s 5%. C is the correct answer.

上一篇 The U.S. Treasury spot rates are listed as follows

下一篇 Using the BEY (bond-equivalent yield) spot rates f

相似问题