107. A bond with a face value of $1,000 has a 10-year maturity and an 8.5 percent annual coupon. The bond has a current yield of 8 percent. What is the bond’s yield to maturity?
a. 8.25%
b. 8.86%
c. 7.59%
d. 8.50%
e. 8.00%
Yield to maturity--semiannual bond Answer: d Diff: M
108. A 15-year bond with a 10 percent semiannual coupon has a par value of $1,000. The bond may be called after 10 years at a call price of $1,050. The bond has a nominal yield to call of 6.5 percent. What is the bond’s yield to maturity, stated on a nominal, or annual basis?
a. 5.97%
b. 6.30%
c. 6.75%
d. 6.95%
e. 7.10%
Yield to maturity--semiannual bond Answer: d Diff: M
109. A 10-year bond has a face value of $1,000. The bond has a 7 percent semiannual coupon. The bond is callable in 7 years at a call price of $1,040. The bond has a nominal yield to call of 6.5 percent. What is the bond’s nominal yield to maturity?
a. 3.14%
