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Personal Money Management F... MindTap.Cangage Lawning Search Textbook Solutions CENGAGE MINDTAP Q Search this Ch 12: End-of-
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rate positively ..

Computation of current yield and YTM
i ii iii iv=1000*9% v=iv/iii
Coupon rate Maturity year Price Annual coupon Current yield YTM (as per below note)
9% 30 1050 90 8.57% 8.53%
9% 30 1000 90 9.00% 9.00%
9% 30 950 90 9.47% 9.51%
Computation of ytm, for this we have to use finanical calculator
put in calculator for each cases -
Case -1 Case -2 Case -3
FV 1000 1000 1000
PMT 90 90 90
PV -1050 -1000 -950
N 30 30 30
compute I 8.53% 9.00% 9.51%
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