A perpetual bond pays a coupon of 25 per year if in year 1


Question: A perpetual bond pays a coupon of $25 per year. If in year 1 this bond sells for $200, what is its yield to maturity? If interest rates move to 20% next year, what will this bond sell for? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

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Finance Basics: A perpetual bond pays a coupon of 25 per year if in year 1
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