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Use the following Bond Data The Bond has a face value of $1000 and a Coupon Payment of $80 per year. Use the Current Yield
Use the following Bond Data The Bond has a face value of $1000 and a Coupon Payment of $80 per year. Use the Current Yield formula for calculations. Show answers to one decimal place ( such as 8.0 or 7.4 ) - What is the initial rate of return for this bond? (\%). - In year 5 the bond sells for $500. Calculate the current yield of return. (\%). - In year 6 the bond sells for $700. Calculate the current yield of return. (\%). - In year 7 the bond sells for $900. Calculate the current yield of return. (\%). - In year 8 the bond sells for $1300. Calculate the current yield of return
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