Sure Tea CO. has issued 10.5 percent annual coupon bonds that are now selling at a yield to maturity of 14.20 percent and current price of $ 946.02 . What is the remaining maturity of these bonds? Show steps. Solution Using a financial calculator N = remaining maturity of these bonds i =10.5% PV =946.02 FV =100 PMT =1000*10.5% =105 N =1.75 years remaining maturity of these bonds.

1. Sure Tea CO. has issued 10.5 percent annual coupon bonds that are now selling at a yield to
maturity of 14.20 percent and current price of $ 946.02 . What is the remaining maturity of these
bonds? Show steps.
Solution
Using a financial calculator
N = remaining maturity of these bonds
i =10.5%
PV =946.02
FV =100
PMT =1000*10.5% =105
N =1.75 years remaining maturity of these bonds