What is the current yield of coupon bond

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1. What is the current yield of a 12.4% coupon bond with 20 years to maturity, if the bond is selling for 901.55?

2. Buck buys a bond with an 8.2% coupon and has a current yield of 8.79%. How much did he pay for the bond?

3. Which of the following bonds offer the highest current yield?

A. 12.84%, 20 year bond, current price 104.139 B. 21.40%, 15 year bond, current price 173.565 C. 6.42%, 18 year bond, current price 52.070

Reference no: EM131058482

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