Sanibel Industries has $1000 par value bonds with a coupon rate of 7% per year making semiannual coupon payments. If there are 11 years remaining prior to maturity and these bonds are selling for $1076 what is the annual yield to maturity for these bonds? O A. 1.51% O B. 3.02% Oc. 12.10% O D. 6.03%

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Sanibel Industries has $1000 par value bonds with a coupon rate of 7% per year making semiannual coupon payments. If there are 11 years remaining prior to maturity and these bonds are selling for $1076
what is the annual yield to maturity for these bonds?
O A. 1.51%
O B. 3.02%
O c. 12.10%
O D. 6.03%
Transcribed Image Text:Sanibel Industries has $1000 par value bonds with a coupon rate of 7% per year making semiannual coupon payments. If there are 11 years remaining prior to maturity and these bonds are selling for $1076 what is the annual yield to maturity for these bonds? O A. 1.51% O B. 3.02% O c. 12.10% O D. 6.03%
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