1. A $1,000 par value callable bond matures in ten years with redemption value equal to par value. The bond has a 4% annual coupon rate and the coupon is payable semiannually. The first coupon will be paid six months from now. The bond can be called on any coupon date after the first five years. (The bond can be called on the 11th coupon date and any coupon date after that.) If the bond was purchased for $851.23 and held until redemption, find the minimum possible yield-to-redemption as an annual nominal rate compounded semiannually