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21 August, 05:23

The current yield is defined as the annual interest on a bond divided by the: Multiple Choice coupon rate. face value. market price. call price. par value.

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  1. 21 August, 08:59
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    The current yield is defined as the annual interest on a bond divided by the: market price

    Explanation:

    When investors acquire bonds, they do so essentially to produce income. The demanded annual rate of return is summoned as the current yield, and it is a gathering of the prevailing price and the amount of interest the bond meets.

    current yield is a crucial measure because it determines the rate of return on your expense for as longspun as you hold the bond. The current yield is equivalent to the annual interest gained divided by the current price of the bond.
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