Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Transcribed Image Text:A 10-year bond with a 9% annual coupon has a yield to maturity of 8%. Which of
the following statements is CORRECT? *
If the yield to maturity remains constant, the bond's price one year from now will be
lower than its current price.
The bond is selling below its par value.
The bond's current yield is greater than 9%.
The bond is selling at a discount.
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