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It is higher than yield to maturity because it does not take into consideration the fact that the bond price will decline from $1,090.90 to $1,000 over the next 20 years. This factor lowers the yield to maturity. Current yield and yield to maturity comparison. 10. A 15-year, 7 percent coupon rate bond is selling for $839.27. a. What is the ... ................
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