Explore BrainMass

Explore BrainMass

    Bond Maturity Yeild

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    I bought a bond that matures in 7 years. The bond has a par value of $1,000 and a 6.3% annual coupon. The bond current yield is 9.04%. How do you get the bond yield to maturity?

    © BrainMass Inc. brainmass.com June 3, 2020, 8:30 pm ad1c9bdddf

    Solution Preview

    Current Yield = Annual Coupon / Current Price of Bond
    Thus, the price of bond = ...

    Solution Summary

    This Solution contains calculations to aid you in understanding the Solution to this question.