Series 7 - General Securities Representative Exam

Training Mode

Unit 1 Unit 2 Unit 3 Unit 4

John Bourne purchases 10 XYZ convertible bonds at 110 that are convertible at $20. The bonds are due to mature in 24 years at par value, and they pay a coupon rate of 8 percent. What is the current yield of the bonds?

7.27 percent

A

7.5 percent

B

8 percent

C

9.16 percent

D