Finance question need help

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A municipal bond with a coupon rate of 5.40 percent sells for $4,880 and has eight years until maturity. What is the yield to maturity of the bond?

Aug 22nd, 2015

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Aug 22nd, 2015
C = coupon /Interest Payment
F = Face Value
P = Price market
n= Years to maturity
YTM = C +( F-P)/ (F+P)/2
The yield to maturity formula is  =

54 + (1000-4880)/(1000+4880)/2
YTM = -1.301

Aug 22nd, 2015

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Aug 22nd, 2015
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Aug 22nd, 2015
Sep 24th, 2017
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