math question
1 Answer

The question can not be answered without knowing the number of years till the bond matures.
$60.00 plus $250 divided by the number of years to maturity.
Divide the result by 875 and you will have the yield to maturity on an annual basis.
875 = the bond purchase price (75 or $750) plus the par value ($1000) divided by 2
Source(s): Series 7 General Securities License holder