What Is the Yield to Maturity of a Five-Year,$5000 Bond

question 100

Multiple Choice

What is the yield to maturity of a five-year,$5000 bond with a 4.5% coupon rate and semi-annual coupons if this bond is currently trading for a price of $4876?

• A)4.30%
• B)5.07%
• C)6.30%
• D)8.60%
• E)4.50%

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