Tidewater Home Health Care, Inc., has a bond issue outstanding with eight years remaining to maturity, a coupon rate of 10 percent with interest paid annually, and a par value of $1,000. The current market price of the bond is $1,251.22. a. What is the bond current yield? What is the bond's yield to maturity? b. Now, assume that the bond has semiannual coupon payments. What is its yield to maturity in this situation? nper fv pmt pv rate ANSWER a. Years to maturity Coupon rate Par value Annual coupon payment Current price Current yida Yield to maturity 3 b. 5 Semiannual periods to maturity 6 Coupon rate 7 Par value 8 Semiannual coupon payment 9 Current price -0 31 Yield to maturity 32 33 nper fv pmt PY rate Tidewater Home Health Care, Inc., has a bond issue outstanding with eight years remaining to maturity, a coupon rate of 10 percent with interest paid annually, and a par value of $1,000. The current market price of the bond is $1,251.22. a. What is the bond current yield? What is the bond's yield to maturity? b. Now, assume that the bond has semiannual coupon payments. What is its yield to maturity in this situation? nper fv pmt pv rate ANSWER a. Years to maturity Coupon rate Par value Annual coupon payment Current price Current yida Yield to maturity 3 b. 5 Semiannual periods to maturity 6 Coupon rate 7 Par value 8 Semiannual coupon payment 9 Current price -0 31 Yield to maturity 32 33 nper fv pmt PY rate