Hey,
This question is from the vault PE guide. I can't really understand the answer here? Current yield I was taught I the annual coupon divided by the price, so 8/80=10%. If by current yield they mean YTM, I usually use this as an approximation when no access to excel or calculator:
https://financeformulas.net/Yield_to_Maturity.html
But that gives roughly 13%? What are they doing with the compounding figure here?
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