EasyFinanceAcceptance 64%

Current Yield

BarclaysMorgan Stanley

A bond with 1,000facevalueandan81,000 face value and an 8% annual coupon trades at 800. What is its current yield (in percent)?

Approach

Current yield uses the dollar coupon and the market price.

80 / 800.

Answer

Show the final answer

The answer is 10. Sign in free for the full worked solution and to check your own answer.

Related problems

More in Finance.