Question

Warren Corporation is interested in a three-year, 11% annual coupon bond. A broker quotes a price...

Warren Corporation is interested in a three-year, 11% annual coupon bond. A broker quotes a price of $930.35. What is the yield to Maturity?

13%

14%

11%

12%

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Answer #1

Use the following inputs on the spreadsheet to calculate the YTM of the bond:

The results obtained are as follows:

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