BONDS A bond has a par value of $1,000 and a coupon of 6%, paid semiannually. The bond amtures in 10 years and currently trades at $850. (a.) What is the YTM for the bond based on its current price? (b) If your required rate of return is 8%, what woud you pay for this bond? YTM (RATE Fct) YTM (RATE Fct) WN- fv coup. rate pmt yrs pmts/yr (m) Your RROR 850 1000 6% 60 10 8.0% for part (b) only The market's RROR (YTM) OWN- O my price (PV) 30 Preferred Bonds Common Decision Tools FCF example