Question: ( Bond valuation ) Fingen ' s 1 5 - year, $ 1 , 0 0 0 par value bonds pay 1 1 percent interest

(Bond valuation)Fingen's
15-year, $1,000 par value bonds pay 11 percent interest annually. The market price of the bonds is $930 and the market's required yield to maturity on a comparable-risk bond is 14 percent.
a. Compute the bond's yield to maturity.
b. Determine the value of the bond to you, given your required rate of return.
c. Should you purchase the bond?
( Bond valuation ) Fingen ' s 1 5 - year, $ 1 , 0

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