ider a coupon bond that has a par value of $1,000 and a coupon rate of 8%. The bond is currently selling for $1,008.98 and has 2 years to maturity. What is the bond's yield to maturity (YTM)? The yield to maturity

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 8MC: Suppose a 10-year, 10% semiannual coupon bond with a par value of 1,000 is currently selling for...
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Consider a coupon bond that has a par value of $1,000 and a coupon rate of 8%.

 

The bond is currently selling for $1,008.98 and has 2 years to maturity. What is the bond's yield to maturity (YTM)?

 

The yield to maturity is

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