What is the yield to maturity of a five-year, $5000 bond with a 4.5% coupon rate and semiannual coupons if this bond is currently trading for a price of $4876?

Name: What is the yield to maturity of a five-year, $5000 bond with a 4.5% coupon rate and semiannual coupons if this bond is currently trading for a price of $4876?
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Question

Quizplus · Accepted Answer

Using a financial calculator, the yield to maturity for this bond can be calculated as 5.07%.

What Is the Yield to Maturity of a Five-Year, $5000