What is the yield to maturity

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1.If a new college graduate wants a car costing $15,000, how much must be saved annually over the next four years if the  funds earn 5%?
2. You purchase a bond for $875. It pays $80 a year (that is, the semiannual coupon is 4%), and the bond matures after 10 years. What is the yield to maturity?

Reference no: EM13320068

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