Discover a world of knowledge at Westonci.ca, where experts and enthusiasts come together to answer your questions. Experience the convenience of getting reliable answers to your questions from a vast network of knowledgeable experts. Discover in-depth answers to your questions from a wide network of professionals on our user-friendly Q&A platform.
Sagot :
If a bond is purchased at a premium, the yield to maturity is higher than
the nominal yield.
What is Nominal yield?
This is defined as the return of a bond is determined by the percentage of
the face value while Current yield deals with current market value.
Yield to maturity is the total return anticipated on a bond if the bond is
held until it matures and is usually higher than the nominal yield.
Read more about Nominal yield here https://brainly.com/question/24325177
Thanks for using our platform. We're always here to provide accurate and up-to-date answers to all your queries. We hope our answers were useful. Return anytime for more information and answers to any other questions you have. Keep exploring Westonci.ca for more insightful answers to your questions. We're here to help.