The market price of a semi-annual pay bond is $955.81. It has 20.00 years to maturity...

The market price of a semi-annual pay bond is $955.81. It has 20.00 years to maturity and a coupon rate of 8.00%. Par value is $1,000. What is the effective annual yield?

Answer format: Percentage Round to: 4 decimal places (Example: 9.2434%, % sign required. Will accept decimal format rounded to 6 decimal places (ex: 0.092434))

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Expert Solution

Answer: 8.6410%

jeff jeffy answered 2 years ago

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