Question: Provide your answers/solutions in the answer space provided below. Answer all questions. A corporation has an outstanding bond with the following characteristics: Coupon rate 9.5%

Provide your answers/solutions in the answer space provided below.

Answer all questions.

  1. A corporation has an outstanding bond with the following characteristics:

Coupon rate

9.5%

Interest payments

Semi-annually

Face value

$1,000

Years to maturity

23

Current market value

$1,182.40

Find the yield to maturity (YTM) for this bond.

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