A bond has a 1-% coupon rate, a par value of $1000, and a market price of $800. What - 3396

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A bond has a 1-% coupon rate, a par value of $1000, and a market price of $800. What is the current yield of this bond?

a. 10%

b. 11.4%

c. 12.2%

d. 12.5% 

Solution Description

A bond has a 1-% coupon rate, a par value o