Answer:
the bonds yield to maturity is 5%
Explanation:
The computation of the yield to maturity of the bond is shown below:
Given that
Future value = Par value = $1,000
NPER = 9 years
Present value = $645
PMT = $0
The formula is shown below:
= RATE(NPER;PMT;-PV;FV;type)
After applying the above formula, the yield to maturity is 5%
Hence, the bonds yield to maturity is 5%
The same is to be considered
