Ruth Hornsby is looking to invest in a three-year bond that makes semiannual coupon payments at a rate of 13.47 percent. If these bonds have a market price of $933.16, what yield to maturity and effective annual yield can she expect to earn? (Round answer to 2 decimal places, e.g. 15.25%.) Yield to maturity ___________% Effective annual yield __________%

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Ruth Hornsby is looking to invest in a three-year bond that makes semiannual coupon payments at a rate of 13.47 percent. If these bonds have a market price of $933.16, what yield to maturity and effective annual yield can she expect to earn? (Round answer to 2 decimal places, e.g. 15.25%.)

Yield to maturity ___________%

Effective annual yield __________%

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