Problem 13-05

Charlotte's Clothing issued a 4 percent bond with a maturity date of 17 years. Six years have passed and the bond is selling for $770. Assume that the bond pays interest annually.

1. What is the current yield? Round your answer to two decimal places.jQuery224011170212833643522_1599378145618???%
2. What is the yield to maturity? Use Appendix B and Appendix D to answer the question. Round your answer to the nearest whole number. ???????%
3. If four years later the yield to maturity is 7 percent, what will be the price of the bond? Use Appendix B and Appendix D to answer the question. Round your answer to the nearest dollar.?????$