Ask Question
26 February, 08:38

Which of the following bonds would you prefer to be buying? A) a $10,000 face-value security with a 5 percent coupon selling for $10,000 B) a $10,000 face-value security with a 10 percent coupon selling for $10,000 C) a $10,000 face-value security with a 9 percent coupon selling for $10,000 D) a $10,000 face-value security with a 10 percent coupon selling for $9,000 5

+2
Answers (1)
  1. 26 February, 08:52
    0
    D

    Explanation:

    You have to calculate each bond Yield and keep the highest:

    A) 5%

    B) 10%

    C) 9%

    D) 11.11%
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Which of the following bonds would you prefer to be buying? A) a $10,000 face-value security with a 5 percent coupon selling for $10,000 B) ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers