What is the yield to maturity of a bond with the following characteristics? Coupon rate is 8 percent with semi-annual payments; current price is $960, three years until maturity.
A)4.78 percent
B)5.48 percent
C)9.57 percent
D)12.17 percent Using the BAII Plus calculator:

Question

Quizplus · Accepted Answer

The yield to maturity (YTM) is the internal rate of return (IRR) of the bond's cash flows. Given the bond's price, coupon rate, and time to maturity, the YTM can be calculated using a financial calculator or spreadsheet. In this case, the YTM is approximately 9.57 percent.

What Is the Yield to Maturity of a Bond with the Following