What is the yield to maturity of the bond? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) What is the current yield? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter6: Fixed-income Securities: Characteristics And Valuation
Section: Chapter Questions
Problem 13P
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Suppose the following bond quote for IOU Corporation appears in the financial page of
today's newspaper. Assume the bond has a face value of $1,000, it makes semiannual
interest payments, and the current date is April 15, 2019.
Company
(Ticker) Coupon Maturity
Apr 15,
8.0
2035
IOU
(IOU)
YTM
Current yield
Last Price
104.76
%
%
What is the yield to maturity of the bond? (Do not round intermediate calculations and
enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
What is the current yield? (Do not round intermediate calculations and enter your
answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Q
Last Yield
J
??
EST Vol
(000s)
1,846
< Prev
18
11 of 11
Next
#M24
Transcribed Image Text:Suppose the following bond quote for IOU Corporation appears in the financial page of today's newspaper. Assume the bond has a face value of $1,000, it makes semiannual interest payments, and the current date is April 15, 2019. Company (Ticker) Coupon Maturity Apr 15, 8.0 2035 IOU (IOU) YTM Current yield Last Price 104.76 % % What is the yield to maturity of the bond? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) What is the current yield? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Q Last Yield J ?? EST Vol (000s) 1,846 < Prev 18 11 of 11 Next #M24
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