Which of the Following Bonds Will Have the Highest Yield-To-Maturity

question 80

Multiple Choice

Which of the following bonds will have the highest yield-to-maturity if all three bonds appear identical to investors in terms of risk, liquidity, information costs, tax treatment?

• A)one with a coupon of $50
• B)one with a coupon of $100
• C)one with a coupon of $200
• D)none of the above

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