What is its yield to maturity and future price

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Reference no: EM131920213

YIELD TO MATURITY AND FUTURE PRICE

A bond has a $1,000 par value, 8 years to maturity, and a 7% annual coupon and sells for $980.

What is its yield to maturity (YTM)? Round your answer to two decimal places. %

Assume that the yield to maturity remains constant for the next 4 years. What will the price be 4 years from today? Do not round intermediate calculations. Round your answer to the nearest cent. $

Reference no: EM131920213

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