Bond with nine years left to maturity is trading

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Reference no: EM132006939

1. A 4% coupon bond with 6 months remaining until maturity is currently trading at $997.78. Assume semi-annual coupon payments. The bond's YTM is__________%. Do not round any intermediate work. Round your *final* answer to 2 decimal places (example: .1234567 = 12.35). Do not enter the % sign.

2. A bond with 9 years left to maturity is trading for $1010. It pays coupons semiannually. Its YTM is currently 3.6%. The coupon rate for this bond must be ________%.

Do not round any intermediate work. Round your *final* answer to 2 decimal places (example: .1234567 = 12.35). Do not enter the % sign.

3. A bond is currently trading at a price of $1089. Its "current yield" (not YTM) is 5.5%. The coupon rate on this bond must be _______%.

Do not round any intermediate work. Round your *final* answer to 2 decimal places (example: .1234567 = 12.35). Do not enter the % sign.

Reference no: EM132006939

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