In: Finance
What is the yield of each of the following bonds if interest (coupon) is paid annually ?
Par Value |
Coupon Rate |
Years to Maturity |
Yield to Maturity |
Price |
||
$1,000.00 |
8% |
20 |
? |
$800.00 |
||
$1,000.00 |
9% |
5 |
? |
$1,000.00 |
||
$5,000.00 |
5% |
30 |
? |
$4,310.00 |
||
$5,000.00 |
7% |
5 |
? |
$4,260.00 |
Ans:
Note:
1. As there has no specific process mentioned calculation done on the basis of approximate method.