Transcribed Image Text
On January 15, 2012, TEX Consulting, Inc. issued some $1000 parvalue bonds. These bonds have a coupon rate of 8.25% and the couponpayments are quarterly. On the original issue date, the bonds had30 years to maturity and the original YTM on these bonds was 8.75%.Exactly one year after issue, these bonds traded at a price thatresulted in a YTM of 6.25%. If you had bought one of these bonds onthe issue date and sold the bond exactly one year later, what wasyour percentage capital gain or loss?
Other questions asked by students
Biology
Algebra
Accounting
Accounting
Accounting
Accounting