Dyl Inc's bonds currently sell for $1,180 and have a par value of $1,000. They pay a $65 annual coupon and have a 15-year maturity, but they can be called in 5 years at $1,100. What is their yield to maturity (YTM)? A. 4.79% B. 3.69% C. 4.65% D. 5.08% E. 4.36%

Dyl Inc's bonds currently sell for $1,180 and have a par value of $1,000. They pay a $65 annual coupon and have a 15-year maturity, but they can be called in 5 years at $1,100. What is their yield to maturity (YTM)? A. 4.79% B. 3.69% C. 4.65% D. 5.08% E. 4.36%

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter4: Bond Valuation

Section: Chapter Questions

Problem 3P: Current Yield for Annual Payments Heath Food Corporations bonds have 7 years remaining to maturity....

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Question

A. 4.79%

B. 3.69%

C. 4.65%

D. 5.08%

E. 4.36%

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