A 25-year, $1,000 par value bond has an 8.5% annual payment coupon. The bond currently sells for $925. If the yield to maturity remains at its current rate, what will the price be 5 years from now?

A. $883.61
B. $744.09
C. $976.62
D. $930.11
E. $865.00


Answer: D

Business

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