Based on your answers above what is the relationship


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Sheel INC. has 7 percent coupon ( compounded semiannually) bonds on the market with 10 years to maturity, and the par value of $1,000. At what price should bonds be selling for if the YTM is 5%? Had the bond been selling at $919, what would be the YTM (Assuming the same coupon, maturity and par value) ? Based on your answers above, what is the relationship between YTM and bond price?

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Basic Statistics: Based on your answers above what is the relationship
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