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4 . Consider a bond issued by MGM Inc. exactly two years ago. At that time the bonds time to maturity was 30 years. The

4. Consider a bond issued by MGM Inc. exactly two years ago. At that time the bonds time to maturity was 30 years. The bond pays semiannual coupons with the annual coupon rate of 6% per year. The face value of the bond is $1000. Suppose that exactly two years from today the price of the bond will be $900, what is the annual YTM at that time?

A. 2.23%

B. 3.41%

C. 4.47%

D. 5.15%

E. 6.83%


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