If a 1-year discount bond has a face value of $250 and a price of $200, what is the yield to maturity?

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter4: Bond Valuation
Section: Chapter Questions
Problem 14MC
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Financial Accounting Question please answer

If a 1-year discount bond has a face value of
$250 and a price of $200, what is the yield to
maturity?
Transcribed Image Text:If a 1-year discount bond has a face value of $250 and a price of $200, what is the yield to maturity?
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