A treasury bond is quoted at a price of 10623 with a

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89. A Treasury bond is quoted at a price of 106:23 with a 3.50 percent coupon. The bond pays interest semiannually. What is the current yield on one of these bonds? C Current price = 106 and 23/32nds percent of face = 1.0671875 × $1,000 = $1,067.1875 Current yield = (0.035 × $1,000)/$1,067.1875 = 3.28 percent
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