Her desired yield is j210 after 5 years she sells the bond
Mia buys a $768 bond paying interest twice yearly at 7% p.a. and redeemable in 15 years. Her desired yield is j2=10%. After 5 years she sells the bond to yield the buyer j2=9%. Find the selling price.
Now Priced at $10 (50% Discount)
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