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You buy a bond for $949 that has a coupon rate of 5.60% and a maturity of 8-years. A year later, the bond price is
You buy a bond for $949 that has a coupon rate of 5.60% and a maturity of 8-years. A year later, the bond price is $1,064. (Assume a face value of $1000 and annual coupon payments.) a. What is the new yield to maturity on the bond? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Yield to mataty % b. What is your rate of return over the year? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Rate of Check my work
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