1- A 12% coupon bond, semiannual payments, is callable in 5 years. The call price is $1,120. If the bond is selling today for $1,110, what is the yield to call?

2- Use this information for the next two questions. The current yield curve for default-free zero-coupon bonds is:

Maturity (years) YTM (%) Bond Price Forward Rate

1 10

2 11

3 12

What is the implied forward rate f_2,3 ? (Format of the answer: 10.12 in percent, but don't include % sign, round to 2 digits.)

Question 3: The current yield curve for default-free zero-coupon bonds is:

Maturity (years) YTM (%) Bond Price Forward Rate

1 10

2 11

3 12

1. What should be the current price of a 3-year maturity bond with a 12% coupon rate paid annually? (Format of the answer: 1200.55 dont include $, round to 2 digits.)