The Vinny Cartier Company issued bonds at $1,000 per bond. The bonds had a 30-year life when issued, with semiannual payments at the then annual rate of 13 percent. This return was in line with required returns by bondholders at that point, as described below:

Real rate of return	4	%
Inflation premium	5
Risk premium	4
Total return	13	%

Assume that ten years later the inflation premium is 3 percent, the risk premium has declined to 2 percent and both are appropriately reflected in the required return (or yield to maturity) of the bonds. The bonds have 20 years remaining until maturity.

Compute the new price of the bond. Use Appendix B and Appendix D. (Round "PV Factor" to 3 decimal places. Do not round intermediate calculation. Round the final answer to 2 decimal places.)

New price of the bond $

Bonds issued by the Tyler Food chain have a par value of $1,000, are selling for $1,430, and have 20 years remaining to maturity. Annual interest payment is 16.5 percent ($165), paid semiannually.

Compute the approximate yield to maturity. (Round the final answer to 2 decimal places.)

Approximate yield to maturity %