Compute the yield to maturity-bond current yield

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A 2.90 percent coupon municipal bond has 13 years left to maturity and has a price quote of 96.55. The bond can be called in four years. The call premium is one year of coupon payments. (Assume interest payments are semiannual and a par value of $5,000.)

Compute the bond’s current yield. (Round your answer to 2 decimal places.)

  Current yield %  

Compute the yield to maturity. (Round your answer to 2 decimal places.)

  Yield to maturity %  

Compute the taxable equivalent yield (for an investor in the 35 percent marginal tax bracket). (Round your answer to 2 decimal places.)

  Equivalent taxable yield %

Compute the yield to call. (Round your answer to 2 decimal places.)

Yield to call %

Reference no: EM131340666

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Compute the yield to maturity-bond current yield : A 2.90 percent coupon municipal bond has 13 years left to maturity and has a price quote of 96.55. The bond can be called in four years. The call premium is one year of coupon payments. Compute the bond’s current yield. Compute the yield to maturity.
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