Today, a bond has a coupon rate of 13.6%, par value of $1000, YTM of 9.60%, and
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Question:
Today, a bond has a coupon rate of 13.6%, par value of $1000, YTM of 9.60%, and semi-annual coupons with the next coupon due in 6 months. One year ago, the bond's price was $1,281.05 and the bond had 4 years until maturity. What is the current yield of the bond today?
A rate less than 11.92% or a rate greater than 13.01%
A rate equal to or greater than 11.92% but less than 12.09%
A rate equal to or greater than 12.09% but less than 12.25%
A rate equal to or greater than 12.56% but less than 13.01%
A rate equal to or greater than 12.25% but less than 12.56%
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