Computation of the bond coupon and current yield

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Computation of the bond coupon and current yield and yield to maturity

Use the following information to answer the next five problems

Company Ticker Coupon Maturity Last Price Last Yield EST Spread UST Est $ Vol (000\'s)

Gen Elec GE 7.75 10/19/2010 92.50 9.797 600 3 99,590

1. What annual dollar coupon amount will investors receive?

2. What price would you pay in dollars to purchase this bond?

3. What is the estimated yield on Treasury securities?

4. What is the current yield for this bond?

5. What is the yield to maturity on this bond?

Reference no: EM1315664

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