Bonds
This query is : Resolved
21 June 2012
Q ltd willing to pay Rs.1105 for a bond with Rs.1000 face value after a maturity period of 20 years. what happens if you pay more for the bond? what happens if you pay less for the bond?
21 June 2012
If you pay more for the bond your yield (YTM) will be less and the converse in the opposite case.
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