Problemtoday a bond has a coupon rate of 106 percent par, Ask an Expert

Finance

Problem:

Today, a bond has a coupon rate of 10.6 percent, par value of $1000, 13 years until maturity, YTM of 12.6 percent, and semiannual coupons with the next one due in six months. One year ago, the price of the bond was $968.

Required:

Question: What is the current yield of the bond today?

Note: Explain all calculation and formulas.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91148111

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