(Yield to maturity) A bond's market price is $850. It has a $1,000 par value, will mature in 8 years, and has a coupon interest rate of 9 percent annual interest, but makes its interest payments semiannually. What is the bond's yield to maturity? What happens to the bond's yield to maturity if the bond matures in 16 years? What if it matures in 4 years?
a. The bond’s yield to maturity if it matures in 8 years is ___________%. (Round to two decimal places.)
b. The bond’s yield to maturity if it matures in 16 years is ___________%. (Round to two decimal places.)
c. The bond's yield to maturity if it matures in 4 years is ___________%. (Round to two decimal places.)