Tuesday February 27, 2007

May 30, 2007 · c. Expected capital gains yield can be found as the difference between YTM and the current yield. CGY = YTM - CY = 9.691% - 8.875% = 0.816%. Alternatively, you can solve for the capital gains yield by first finding the expected price next year. N = 8, I = 9.6911, PMT = 80, FV = 1000. ................
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