A $1000, 9.5% coupon Government of Canada bond has 10 years remaining until its maturity. It is

Question:

A $1000, 9.5% Government of Canada bond has 10 years remaining until its maturity. It is currently priced at 108.25 (percent of face value).
a. What is the bond’s yield to maturity?
b. If the bond price abrupt lyrisesby$25, what is the change in its yield to maturity?
Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a...