A long-dated £100 \pounds 100\,£100 government bond with a coupon rate of 6% has a current market value of £120\pounds 120£120. This implies that the
current yield on the bond is 6%6\%6%.
current yield on the bond is 5%5\%5%.
market rate of interest is 3%3\%3%.
market rate of interest is 6%6\%6%.