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    margarivera's Avatar
    margarivera Posts: 3, Reputation: 1
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    #1

    Jul 31, 2008, 04:36 PM
    Bond Pricing
    Bond Pricing.

    A 6-year Circular File bond pays interest of $80 annually and sells for $950.

    What is its coupon rate, current yield, and yield to maturity?

    Thank You.
    Ithappenstoall's Avatar
    Ithappenstoall Posts: 363, Reputation: 37
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    #2

    Aug 21, 2008, 01:47 AM
    coupon rate would be if par 1000$ is 8 % annuallly ( 80/1000)
    current yield would be 80/950 = 8.42%
    For YTM I believe we require more info
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