Par Value |
Coupon Rate |
Years to Maturity |
Yield to Maturity |
Price |
|||
$1,000 |
11% |
5 |
? | $1,070 | |||
$5,000 |
6% |
30 |
? |
$2,820 |
|||
$5,000 |
9% |
5 |
? |
$5600 |
|||
$1,000 |
12% |
5 |
? |
$1300 |
Assumed interest is paid annually as there is no other information
for yield to maturity, use excel function=RATE(nper,pmt,pv,fv)
1)
yield to maturity=RATE(nper,pmt,pv,fv)q
=RATE(5,1000*11%,-1070,1000)
=9.19%
2)
yield to maturity=RATE(nper,pmt,pv,fv)
=RATE(30,5000*6%,-2820,5000)
=11.02%
3)
yield to maturity=RATE(nper,pmt,pv,fv)
=RATE(5,5000*9%,-5600,5000)
=6.14%
4)
yield to maturity=RATE(nper,pmt,pv,fv)
=RATE(5,1000*12%,-1300,1000)
=5.06%
the above is answer..
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