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Thats what I thought it was too but then I was looking over question 13 on CFAI 2012 Mock PM section and …
Beg on Period value of bond = $3600.60 andYield = 6%
3600.60 x .06 = 216.036
Par = 4000 and coupon = 5%
4000 x .05 = 200
the differnece is 16.036 but the aswer uses and amort amount of 23.7
Am I just misunderstanding the problem or using the formula incorrectly?
Thanks for ll your help |
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