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A company has issued a 6 . 2 % coupon bond on the market with near years to maturity. The bonds makes semiannual payments and

A company has issued a

6.2 %

coupon bond on the market with near years to maturity.

The bonds makes semiannual payments and currently sell for

105 %

of par.

What is the current yield on the bonds?

What is the YTM

?

Calculate the effective annual yield?

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