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An Investor Bought Two Bonds-Bond a Was a 9% Bond

Question 53

Short Answer

An investor bought two bonds-bond A was a 9% bond at 106 and bond B was a 7% bond at 94. Each bond is to mature in 5 years. Compute how much greater the yield to maturity from bond B is than from bond A. (Do not consider commission. Round yields to two decimal places.)

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0.88% grea...

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