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padilas [110]
1 year ago
7

Gordon Industries has 6 percent coupon bonds outstanding with a face value of $1,000 and a market price of $959.21. The bonds pa

y interest annually and have a yield to maturity of 6.5 percent. How many years will it be until these bonds mature? a. 6.0 years
Business
1 answer:
algol131 year ago
3 0

12.0 years will take for these bonds to mature.

What is a coupon in bonds?

The term "coupon," which is also sometimes referred to as "coupon payment," refers to the annual interest rate that is paid on a bond from the date of issuance until maturity. It is described as being a percentage of the bond's face value. When discussing coupons, the coupon rate is frequently employed.

How does coupon rate affect bond price?

The price of bonds is significantly influenced by the coupon rate on a bond in comparison to current market interest rates. Bond prices increase when a coupon is more than the current interest rate; prices decrease when a coupon is lower.

Learn more about coupon in bonds: brainly.com/question/22504216

#SPJ4

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How is the dual credit program different from the AP program?
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3 years ago
Read 2 more answers
Has any questions or problems.
bearhunter [10]

Answer:

Customer relationship management (CRM).

Explanation:

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5 0
3 years ago
Suppose a commercial banking system has $40,000 of outstanding checkable deposits and actual reserves of $4,500. If the reserve
ludmilkaskok [199]

Answer: $50000

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3 years ago
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