C . Year 15 ( at a discount rate of 25 %)
D . Each of years 1 through 3 ( at a discount rate of 12 %)?
3-3
In February 2009 Treasury 6s of 2026 offered a semiannually compounded yield of 3.5965 %. Recognizing that coupons are paid semiannually , calculate the bond ' s price .
3-4
Here are the prices of three bonds with 10-year maturities :
Bond Coupon (%) Price (%)
2 81.62
4 98.39
8 133.42
If coupons are paid annually , which bond offered the highest yield to maturity ?