The yield to maturity on a bond can be calculated using the IRR function Enter the bond price as a negative number, and the coupons (on a semiannual basis) and maturity value as cash flows Use the spreadsheet formula IRR (Al An) where n is the last cell with a cash flow Calculate, using the spreads...

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The yield to maturity on a bond can be calculated using the IRR function. Enter the bond

Question:

The yield to on a bond can be calculated using the IRR function. Enter the bond price as a negative number, and the coupons (on a semiannual basis) and value as cash flows. Use the spreadsheet formula = IRR (Al: An) where n is the last cell with a cash flow.
Calculate, using the spreadsheet, the ytm for a six year, 7 percent bond currently selling for $949.75.
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... Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...