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A company issues bonds at a market price of $925. The face value is $1000. The bond matures in 10 years, and the

coupon rate is 6% compounded semiannual.

What is the yield to maturity (YTM) on the company's bonds? Answer is 7.06%. What is the mathematical equation used to get the 7.06%. I cannot use excel, only a calculator.

Top Answer

total interest periods (N) = 10 *2 = 20 semiannual interest payment =... View the full answer


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