Homework answers / question archive / You are purchasing a 20 year semi annual bond with a current market price of $970

You are purchasing a 20 year semi annual bond with a current market price of $970

Finance

Share With

You are purchasing a 20 year semi annual bond with a current market price of $970.09. If the yield to maturity is 7.90% and the face value is $1,000, what must the coupon rate be on the bond?
A. 6.03%
B. 9.59%
C. 8.36%
D. 6.54%
E. 7.60%