What is yield to maturity

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1. If a 20-year bond, issued 5 years ago, is currently priced at $1,050, and has a coupon rate of 4%, and pays interest semi-annually. What is the yield to maturity?

2. What is the price of a U.S. 30 year bond that has 11 years left to maturity, a coupon rate of 5% (semi-annual) payments, and a yield maturity (YTM) of 7%?

Reference no: EM131562563

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