Determine the yield to maturity if the bonds are purchased at the A

Determine the yield to maturity if the bonds are purchased at the A

Consider the Allied Signal Corporation zero coupon money multiplier notes of 2008. The bonds were issued on July 1, 1990, for $100. Interest is paid every July 1 and the bond matures on July 1, 2008. Determine the yield to maturity if the bonds are purchased at the A. Issue price in 1990 B. Market price as of July 1, 2004, of $750 C. Explain why the returns calculated in (a) and (b) are different