The bonds are only forecasted to pay 82 of their par value


When originally issued, an investment in the bonds of Flushing Dough, Inc., promised to provide an annual coupon of 7.75%. The bonds have 4 years until maturity, a market price of $795, and are expected to pay all coupons on time. At maturity, however, the bonds are only forecasted to pay 82% of their par value. What is the likely yield to maturity on the bonds? (Enter your answer as a percent rounded to 2 decimal places.)

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Financial Management: The bonds are only forecasted to pay 82 of their par value
Reference No:- TGS02831383

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