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A bond sold at a discount is expected to __________ in value as we approach mat…
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Wize University Introduction to Finance Textbook > Bond Valuation
Bond Valuation
5 Activities
A bond sold at a discount is expected to __________ in value as we approach maturity, assuming the yield remains constant.
A) decrease
B) increase
C) stay the same
D) none of the above
I don't know
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More Bond Valuation Questions:
Today is January 5th, 2022. A bond with a face value of $1,000 and a coupon rate of 12% paid semi-annually on December 31st and June 30th. If the bond is quoted at 99.421 what is the cash price of the bond?
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Which of the following statements is false?
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What is the value of a 5 year bond with a face value of $1000, a coupon rate of 6% paid semi-annually if the YTM is equal to 5%?
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Round your work to at least 6 decimal places and final answer to 2 decimal places.
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