eBook Chapter 12 Financial Planning Exercise 8 Calculating and interpreting current yield and yield to maturity Describe and differentiate between a bond's (a) current yield and (b) yield to maturity.     Why are these yield measures important to the bond investor?     Find the yield to maturity of a 15-year, 11%, $1,000 par value semiannual bond trading at a price of $850. What's the current yield on this bond? Round the answers to two decimal places.   Yield to maturity  % Current yield  %

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