What is the semiannual yield of a bond which costs 750 today

What is the semi-annual yield of a bond which costs $750 today, pays $25 in interest semiannually, and matures at the end of 10 years. Enter as a whole number (i.e. 18.2% would be entered as 18.2)

Solution

Ans yield = interest /price (100)

= 25/750 (100)==3.33

Yeipd is not effected by years however yield to maturity is effected by it

What is the semi-annual yield of a bond which costs $750 today, pays $25 in interest semiannually, and matures at the end of 10 years. Enter as a whole number (

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