I need to know the calculation for the "annual yield to maturity"
Please post the problem you need help with and I will provide a step by step solution
Question 3: a bond calculation
A company issues bonds, and an investor buys one such with a par value of
EUR 50,000. The coupon is 6% per annum, payable semi-annually.
To cover banking fees, etc, for the issuance, the bond is offered at par plus 5%.
What is the annual yield to maturity for the buyer who keeps the bond till maturity?
I also want to add that the due date for this homework is Monday 2July so I only have tomorrow . I appreciate sending me the answer tomorrow or even tonight if possible
Please post the problem exactly as it appears in your book (it is missing the maturity date and you cannot calculate the YTM without that) and also please advise
the name of the book you are using: Title, author's name, and edition
The maturity date is 5 years
I am not sure why you do not want to post the problem as it appears in your book. I am trying to help. What is the par value of the bonds? is it Eur 1,000?