You wish to purchase a ten-year bond selling at 80% of par with a coupon rate of 8%. Your required annual yield-to-maturity is 9%. Should you purchase this bond? (Assume semi-annual coupon payments.)

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The Answer of You wish to purchase a ten-year bond selling at 80% of par with a coupon rate of 8%. Your required annual yield-to-maturity is 9%. Should you purchase this bond? (Assume semi-annual coupon payments.)

You Wish to Purchase a Ten-Year Bond Selling at 80