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6-15 Severn Company's bond has four years remaining to maturity. Interest is paid semiannually, the bond has a $1,000 par value, and the coupon interest

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6-15 Severn Company's bond has four years remaining to maturity. Interest is paid semiannually, the bond has a $1,000 par value, and the coupon interest rate is 9 percent. Compute the yield to maturity for the bonds if the current market price is (a) $851 and (b) $1,105. (LO 6-4) 6-16 Dcor Interiors has an outstanding bond that was issued 20 years ago. The bond has a $1,000 maturity value and a 5.5 percent coupon rate of interest. Interest is paid semiannually. The bond, which matures in five years, is currently selling for $1,022. What is the bond's yield to maturity? (LO 6-4)

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