You can use the YIELD function in Excel to calculate the yield to maturity of a bond. Suppose we have a bond with the following characteristics. What is the YTM of the bond? Years to maturity Settlement date: Maturity date: 8 1/1/2000 1/1/2008 Annual coupon rate: 7.50% Bond price (% of par): 98.120 Face value (% of par): 100 Coupons per year: Yield to Maturity (YTM): 2

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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You can use the YIELD function in Excel to calculate the yield to maturity of a bond. Suppose we have a bond with the following characteristics. What is the YTM of
the bond?
Years to maturity
Settlement date:
Maturity date:
8
1/1/2000
1/1/2008
Annual coupon rate:
7.50%
Bond price (% of par):
98.120
Face value (% of par):
100
Coupons per year:
Yield to Maturity (YTM):
2
Transcribed Image Text:You can use the YIELD function in Excel to calculate the yield to maturity of a bond. Suppose we have a bond with the following characteristics. What is the YTM of the bond? Years to maturity Settlement date: Maturity date: 8 1/1/2000 1/1/2008 Annual coupon rate: 7.50% Bond price (% of par): 98.120 Face value (% of par): 100 Coupons per year: Yield to Maturity (YTM): 2
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