Interest amount = Current yield
Market Price
$1,000 face value bond, 7% stated interest rate, sold at face value.
Interest
Yield
$5,000 face value bond, 5.25% stated interest rate, sold at face value.
Interest
Yield
$1,000 face value bond, 7% stated interest rate, sold at 102.
Interest
Yield
$5,000 face value bond, 5.25% stated interest rate, sold at 104.
Interest
Yield
