1. A semi-annual coupon bond that matures in 7 years sells for $1020. It has a face value of $1000, and a YTM of 10.5883%. Compute the current yield?
A) 5.39%
B) Cannot be computed unless data on coupon payment is provided.
C) 10.78%
D) 11.25%
2. Heymann Corporation bonds have 4 years left till maturity. Interest is paid annually. The bonds have $1000 par value and a coupon rate of 9%. What is the YTM at a current market price of $829?
A) 14.98%
B) 15.01%
C) 6.98%
D) 5.42%