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Today is February 15, 2008 Type Issue Date Price (per $100 par value) Coupon Rate Maturity Date YTM Current Yield Rating Bond Aug 2002 78.77
Today is February 15, 2008
| Type | Issue Date | Price (per $100 par value) | Coupon Rate | Maturity Date | YTM | Current Yield | Rating |
| Bond | Aug 2002 | 78.77 | 4.25% | 8-15-2012 | ??? | 5.395% | AAA |
Assume a $100,000 par value. What is the yield to maturity of the August 2002 treasury bond with semi annual payment? Compare the yield to maturity and the current yield. How do you explain this relationship?
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