Calculate current yield and yield to maturity


Charlotte's Clothing issued a 5 percent bond with a maturity date of 15 years. Five years have passed and the bond is selling for $690.

(a)What is the current yield?
(b) What id the yeild to maturity?
If five years later the yield to maturity is 10 percent, what will be the price of the bond?

 

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Finance Basics: Calculate current yield and yield to maturity
Reference No:- TGS026029

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