The market price of a semi-annual pay bond is $980.47. It has 16.00 years to maturity and a coupon rate of 6.00%. Par value is $1,000. What is the effective annual yield?

Personal Finance
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ISBN:9781337669214
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Chapter14: Investing In Stocks And Bonds
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# 23
The market price of a semi-annual pay bond is $980.47.
It has 16.00 years to maturity and a coupon rate of
6.00%. Par value is $1,000. What is the effective annual
yield?
Submit
Answer format: Percentage Round to: 4 decimal places
(Example: 9.2434%, % sign required. Will accept
decimal format rounded to 6 decimal places (ex:
0.092434))
unanswered
not_submitted
Attempts Remaining: Infinity
Transcribed Image Text:# 23 The market price of a semi-annual pay bond is $980.47. It has 16.00 years to maturity and a coupon rate of 6.00%. Par value is $1,000. What is the effective annual yield? Submit Answer format: Percentage Round to: 4 decimal places (Example: 9.2434%, % sign required. Will accept decimal format rounded to 6 decimal places (ex: 0.092434)) unanswered not_submitted Attempts Remaining: Infinity
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