Question: One More Time Software has 7.2 percent coupon bonds on the market with 12 years to maturity. The bonds make semiannual payments and currently sell

One More Time Software has 7.2 percent coupon bonds on the market with 12 years to maturity. The bonds make semiannual payments and currently sell for 84.8 percent of par.

Required:

(a)

What is the current yield on the bonds?

(b)

The YTM?

(c)

The effective annual yield?

Please explain how to do it in the simplest terms you can.

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