Carla Vista Corp. has five-year bonds outstanding that pay a coupon rate of 8.6 percent. If these bonds are priced at $1,057.26. Assume face value is $1,000. (Round answers to 2 decimal places, e.g. 15.25%) What is the yield to maturity on these bonds, assuming semiannual payments?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter8: Analysis Of Risk And Return
Section: Chapter Questions
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Carla Vista Corp. has five-year bonds outstanding that pay a coupon rate of 8.6 percent. If these bonds are priced at $1,057.26.
Assume face value is $1,000. (Round answers to 2 decimal places, e.g. 15.25%)
What is the yield to maturity on these bonds, assuming semiannual payments?
Transcribed Image Text:Carla Vista Corp. has five-year bonds outstanding that pay a coupon rate of 8.6 percent. If these bonds are priced at $1,057.26. Assume face value is $1,000. (Round answers to 2 decimal places, e.g. 15.25%) What is the yield to maturity on these bonds, assuming semiannual payments?
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