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Homework answers / question archive / Wee Beastie Animal Farm bonds have 8 years to maturity and pay an annual coupon at the rate of 5

Wee Beastie Animal Farm bonds have 8 years to maturity and pay an annual coupon at the rate of 5

Accounting

Wee Beastie Animal Farm bonds have 8 years to maturity and pay an annual coupon at the rate of 5.6%. The face value of the bonds is S1.000 The price of the bonds is $1,071.18 to yield 4.52%. What is the capital gain yield on the bonds? 
The capital gain yield is: (Select the best choice below.) 
A) - 0.65% 
B) -0.71% 
C) - 0.63% 
D) 0.77 
E) + 0.83% 
 

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