Question 31

Find the yield to maturity for a 10-year, 9% annual coupon rate, $1,000 par value bond if the bond sells for $1000 currently? We assume that the interest is paid on this bond annually.

a. 7.30%

b. 8.36%

c. 9.00%

d. 9.67%

Question 32

Using the information from Question 31, calculate the bonds current yield.

		8.35%
		9.39%
		9.80%
		9.00%

Question 33

Using the information from Question 31 and 32, calculate the bonds capital gain yield.

		-0.18%
		0.18%
		0.0%
		-1.22%