Is there a simple/fast way to find $y$ for the equation:
I am trying to calculate the yield to maturity of a bond, and the answer is 2.66% or 2.67% (depending on your rounding off). I know some other method (some sort of trail and run method), but its rather long in my opinion.
The question was:
A bond has an annual coupon (interest) rate of 8%, with nominal value of 100,000 that has maturity in 4 years time. If the bond sells at 120,000, what is the yield to maturity?