Question
how to calculate I/Y = 3.4056%, after using calculator, only get 0.458% PV = bond price = 98.7% of par 1000 = -987FV = face
how to calculate I/Y = 3.4056%, after using calculator, only get 0.458%
PV = bond price = 98.7% of par 1000 = -987FV = face value = 1000
N = time to maturity = 5x2 = 10
PMT = semi-annual coupon = 100x6.5%/2 = 3.25
Then press "CPT" "I/Y, we get,
I/Y = semi-annual yield to maturity= 3.4056%
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Financial Management Principles And Practice
Authors: Timothy J. Gallagher, Joseph D. Andrew
3rd Edition
0131768824, 978-0131768826
