Type the Excel formula for the current yield of a 5.2 %, $1,000-par bond priced at 940.49.
Type the Excel formula for the current yield of a 5.2 %, $1,000-par bond priced at 940.49.
Answer
=0.052*1000/940.49
52 ÷ 940.49 = 0.055290. Coupon ÷ PAR would be the coupon rate, 0.052 — the trap.
CSC register (verified-facts §2.7 H06 — the ordering rule is absent from every text on disk and is authored originally); Bigel, Introduction to Financial Analysis (CC BY 4.0) §12.6 — discount/premium frame only; original bonds