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What Is the Yield to Maturity of a Five-Year,$5000 Bond

Question 100

Multiple Choice

What is the yield to maturity of a five-year,$5000 bond with a 4.5% coupon rate and semi-annual coupons if this bond is currently trading for a price of $4876?


A) 4.30%
B) 5.07%
C) 6.30%
D) 8.60%
E) 4.50%

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