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Oriole Corp. has five-year semi-annual bonds outstanding that pay a coupon rate of 8.0 percent, these
What is the yield to maturity on these bonds?
Yield to maturity | % |
Assume semiannual coupon payments. What is the effective annual yield?
Effective annual yield | % |
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- Zanobia Co.'s bonds currently sell for $1,150. They have a 8% annual coupon rate (but paid semiannually) and a 30-year maturity, and are callable in 10 years at $1,100. What is the yield to call of the bonds? Select one: O a. 6.64% O b. 4.34% O c. 4.57% O d. 4.12% e. 3.92% 4Last year Carson Industries issued a 10-year, 15% semiannual coupon bond at its par value of $1,000. Currently, the bond can be called in 6 years at a price of $1,075 and it sells for $1,180. What are the bond's nominal yield to maturity and its nominal yield to call? Do not round intermediate calculations. Round your answers to two decimal places. YTM: YTC What is the current yield? What is the expected capital gains (or loss) yield for the coming year? Use amounts calculated in above requirements for calculation, if required. Negative value should be indicated by a minus sign. Round your answer to two decimal places.A firm's bonds have a maturity of 8 years with a $1,000 face value, have an 8% semlannual coupon, are callable in 4 years at $1,048.54, and currently sell at a price of $1,094.91. What are their nominal yield to maturity and their nominal yield to call? Do not round Intermediate calculations. Round your answers to two decimal places. YTM: YTC: What return should investors expect to earn on these bonds? I. Investors would not expect the bonds to be called and to earn the YTM because the YTM is greater than the YTC. II. Investors would not expect the bonds to be called and to earn the YTM because the YTM is less than the YTC. III. Investors would expect the bonds to be called and to earn the YTC because the YTC is less than the YTM. IV. Investors would expect the bonds to be called and to earn the YTC because the YTC is greater than the YTM. -Select-
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