A $1,000 par value bond with a 7.75% coupon rate (semianual interest) matures in 8 years and currently sells for $990.94. What is the bond's yield to maturity and bond equivalent yield The bond's yield to maturity is%. (Round to two decimal places.)

A $1,000 par value bond with a 7.75% coupon rate (semianual interest) matures in 8 years and currently sells for $990.94. What is the bond's yield to maturity and bond equivalent yield The bond's yield to maturity is%. (Round to two decimal places.)

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter4: Bond Valuation

Section: Chapter Questions

Problem 12P: Bond Yields and Rates of Return A 10-year, 12% semiannual coupon bond with a par value of 1,000 may...

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A $1,000 par value bond with a 7.75% coupon rate (semianual interest) matures in 8 years and currently sells for $990.94. What is the bond's yield to maturity and bond equivalent yield
The bond's yield to maturity is%. (Round to two decimal places.)
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