Problem 7-25 Bond Prices and Interest Rate Changes (LG7-5) A 6.05 percent coupon bond with 15 years left to maturity is priced to offer a yield to maturity of 7.1 percent. You believe that in one year, the yield to maturity will be 7.0 percent. What is the change in price the bond will experience in dollars? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Change in bond price Problem 7-26 Bond Prices and Interest Rate Changes (LG7-5) A 6.90 percent coupon bond with 14 years left to maturity is priced to offer a yield to maturity of 7.6 percent. You believe that in one year, the yield to maturity will be 7.2 percent. What is the change in price the bond will experience in dollars? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Change in bond price Problem 7-13 Current Yield (LG7-6) What's the current yield of a 4.65 percent coupon corporate bond quoted at a price of 102.23? (Round your answer to 2 decimal places.) Current yield % Problem 7-27 Yield to Maturity (LG7-6) A 6.15 percent coupon bond with 18 years left to maturity is offered for sale at $1,085.25. What yield to maturity is the bond offering? (Assume interest payments are semiannual.) (Round your answer to 2 decimal places.) Yield to maturity % Problem 7-29 Yield to Call (LG7-6) A 6.45 percent coupon bond with 29 years left to maturity can be called in nine years. The call premium is one year of coupon payments. It is offered for sale at $1,116.75. What is the yield to call of the bond? (Assume interest payments are semiannual.) (Round your answer to 2 decimal places.) Yield to call % Problem 7-31 Comparing Bond Yields (LG7-6) A client in the 30 percent marginal tax bracket is comparing a municipal bond that offers a 4.60 percent yield to maturity and a similar-risk corporate bond that offers a 6.50 percent yield. Determine the equivalent taxable yield. (Round your answer to 2 decimal places.) Equivalent taxable yield % Which bond will give the client more profit after taxes? corporate bond municipal bond Problem 7-37 Yields of a Bond (LG7-6) A 3.70 percent coupon municipal bond has 15 years left to maturity and has a price quote of 95.65. The bond can be called in four years. The call premium is one year of coupon payments. (Assume interest payments are semiannual and a par value of $5,000.) Compute the bond's current yield. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Current yield % Compute the yield to maturity. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Yield to maturity % Compute the taxable equivalent yield (for an investor in the 30 percent marginal tax bracket). (Do not round intermediate calculations. Round your answer to 2 decimal places.) Equivalent taxable yield % Compute the yield to call. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Yield to call %