The 8.5 percent annual coupon bonds of Eberly, Inc. are selling for $930.12. The bonds have a face value of $1,000 and mature in 9 years. What is the yield to maturity

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asked Oct 1, 2024 44.7k views

2 Answers

Gkrizek · Answer 1 · 2024-10-03T17:33:59+0000

To cl
N = 9
I/Y = ?
PV = -930.12
PMT = 85
FV = 1000

Solving for I/Y, we get:

I/Y = 10.00%

Therefore, the yield to maturity is 10.00%.