A R1,000 Par Value Bond Sells for R1,216

question 50

Multiple Choice

A R1,000 par value bond sells for R1,216.It matures in 20 years, has a 14 percent coupon, pays interest semi-annually, and can be called in 5 years at a price of R1,100.What is the bond's YTM?

• A) 6.05%
• B) 10.00%
• C) 10.06%
• D) 8.59%
• E) 11.26%

---

Definitions:

Orbicularis Oculi

A circular muscle around the orbit of the eye that enables blinking and closing of the eyelids.

Zygomaticus Major

A facial muscle that draws the mouth upward and outward, playing a key role in expressing smiling.

Buccinator

A muscle of the cheek that acts to compress the cheek against the teeth and is used in blowing and chewing.

Carpal Tunnel Pressure

The pressure within the carpal tunnel, an anatomical compartment of the hand, potentially leading to carpal tunnel syndrome when increased.