FIN 351 CHAPTER 12 QUIZ 6 TO 10 6. A basis point is one tenth of l percent. 7. The approximate yield to maturity method tends to understate the true yield for bonds trading at a discount. 8. Yield to maturity is equivalent to market rate of interest. 9. Current yield is always the best measure of a bond's yield. 10. If the market price of a bond is less than the call price, yield to call is a reasonable calculation for yield.