mriz21 Wrote:
——————————————————-
> you say “remember than the realized rate of return
> must fall between the YTM and the Reinvestment
> Rate. ”
>
> Where is that in the curriculum? Isn’t the
> reinvestment rate equal to the YTM if you discount
> the bonds with the YTM?
Realized rate of return /= YTM
I wanna add 3 common mistakes
- Comprehensive income is NOT other comprehensive income .. CI = OCI + NI
- Return on Equity is NOT return on COMMON equity
- ALWAYS computed basic EPS if question asking for diluted - chances are shares might be antidultive and diluted EPS will be simply basic EPS
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