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EJ Corp bond carries a 9 percent coupon, paid semi-annually. The par value is $1,000, and the bond matures in 12 years. If the bond
| EJ Corp bond carries a 9 percent coupon, paid semi-annually. The par value is $1,000, and the bond matures in 12 years. If the bond currently sells for $905.50 (PV), what is its yield to maturity? | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Enter PV as a negative number. Calculate equal 24 payments ($1,000*.09/2) and enter. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Remember the last payment is the return of principal plus PMT. Use IRR(cash flows).
IRR=> ? The YTM is 2*IRR===> ? | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Finance For Development
Authors: Barbara Stallings
1st Edition
0815780850, 978-0815780854
