Bonds and their valuation

Yield-to-Maturity Issued at a Discount 1. The Spade Company's bonds have 4 years remaining to maturity. Interest is paid annually; the bonds have a P1,000, face value; and the coupon interest rate is 9%. What is the estimated yield to maturity of the bonds at their current market price of P829? A. 8.20% C. 13.10% B. 10.86% D. 14.80% Pol Bobadilla 2. A 5-year bond with 5% coupon rate and $1,000 face value is selling for $852.10. Calculate the yield to maturity of the bond. (Assume annual interest payments.) A. 9.23% C. 8.78% B. 5% D. None of the above 8 8 M 3 A coupon bond that pays interest of $100 annually has a par value of $1,000, matures in 5 years, and is selling today at a $72 discount from par value. The yield to maturity on this bond is . a. 8.00% c. 12.00% b. 8.33% d. 60.00% Bodie 4. What is the yield to maturity, to the nearest percent, for the following bond: current price is $908, coupon rate is 11 percent, $1,000 par value, interest paid annually, eight years to maturity? A. 11 percent. 0. 13 percent. 8. 12 percent. D. 14 percent. Gitman IEQI Ind 21' 3: Firm-mill!\