Respond to this Question
Similar Questions

FINANCE
Current yield and yield to maturity A bond has a $1,000 par value, 10 years to maturity, a 7 percent annual coupon, and sells for $985. a. What is its current yield? b. What is its yield to maturity (YTM)? c. Assume that the yield
asked by Mel on September 18, 2007 
Finance
Dahler Corporation has just issued a bond with a maturity of 20 years, coupon rate of 10.25%, and a market price of $1330.25. Dahler makes semiannual coupon payments. a) what is the YTM expressed as a quoted rate based on
asked by LIT on February 2, 2010 
Math
Bond Yields. An AT&T bond has 10 years until maturity, a coupon rate of 8 percent, and sells for $1,100. a. What is the current yield on the bond? b. What is the yield to maturity? a) The current yield is $80/1100 = 7.27% b) The
asked by Antoinette on March 20, 2007 
Finance
2. You are now considering adding a corporate bond to your investment portfolio. The bond was issued last year to have 10 years to maturity (so it has 9 years remaining to maturity from today) The bond has an 8% coupon, and was
asked by rongbo on February 26, 2012 
Finance
Which of the following statments is CORRECT? a. Assume that two bonds have equal maturities and are of equal risk, but one bond sells at par while the other sells at a premium above par. The premium bond must have a lower current
asked by Alice on October 20, 2011 
Finance
I missed one day of class and now i cannot figure this out... I thought that price and YTM relied on each other and now I have a question asking to solve for each? An 11% semiannual bond matures in 7 years. The bond has a face
asked by Adam on March 29, 2011 
Finance
A bond has a $l000 par value, l0 years to maturity, a 7 percent annual coupon, and sells for $985. a. What is its current yield? b. What is its yield to maturity c. Assuke that the yield to maturity remains constant for the next 3
asked by Catherine on September 9, 2010 
Capital Markets  Bonds
You are buying right now a zerocoupon bond. It has exactly 8 years to maturity, and you expect the YTM to be 6% over the bondâ€™s life. Even though you intended to hold it to maturity, you end up selling it after 3 years. By that
asked by joe on February 28, 2007 
fin
Which of the following statements is CORRECT? (Points : 10) If a bond is selling at a discount, the yield to call is a better measure of return than the yield to maturity. On an expected yield basis, the expected capital gains
asked by Anonymous on September 26, 2011 
finance
Suppose Delta Company issued bonds with a 15year maturity, a Rs. 1,000 par value, a 12 percent coupon rate, and semiannual interest payments. If actual price of the bond in the market is Rs 900, compute yield to maturity, current
asked by mira on June 23, 2013