An analyst gathers the following information about a spot curve:
Term to Maturity Spot Rate
1 year 6%
2 years 5%
3 years 4%
If the coupon rate of a 3-year annual-pay bond is 4%, the price of the bond is closest to: | Chartered Financial Analyst Level 1 Quiz - LeetQuiz
Chartered Financial Analyst Level 1
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An analyst gathers the following information about a spot curve:
Term to Maturity Spot Rate
1 year 6%
2 years 5%
3 years 4%
If the coupon rate of a 3-year annual-pay bond is 4%, the price of the bond is closest to: