What is the current yield on bonds

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Reference no: EM131985320

1. One More Time Software has 6.6 percent coupon bonds on the market with 20 years to maturity. The bonds make semiannual payments and currently sell for 66.1 percent of par.

Required:

(a) What is the current yield on the bonds?

(b) The YTM?

2. Find the future values of the following ordinary annuities:

a. FV of $300 paid each 6 months for 5 years at a nominal rate of 8% compounded semiannually. Round your answer to the nearest cent.

b. FV of $150 paid each 3 months for 5 years at a nominal rate of 8% compounded quarterly. Round your answer to the nearest cent.

Reference no: EM131985320

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