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$1,180 a. What are the bond's nominol yleld to maturity and its nominal yield to call? 00 not round intermedlate calcilgtions found your answers to

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$1,180 a. What are the bond's nominol yleld to maturity and its nominal yield to call? 00 not round intermedlate calcilgtions found your answers to tho decimat places: nim: o VIM: s ric: Would an investor be more likely to earn the YTM or the YTC? Is this vield alfected by whether the bond is likelr to be called? 1. If the bond k called, the copital gains vield will remain the same but the current vold wil be catferent. 11. If the bond is called, the current yield and the caphal gains yield will both be deflerent. III. If the bond is called, the current yieid and the caplat gains yield will remein the same but the coupoe rate will be ditferent. IV. If the bond is called, the current yeld will remain the same but the capalal gains yeld will be diterent. v. if the bend is called, the current yield and the captal gains yield wat remain the same. c. What is the expected capital gains (or loss) vield for the corming year? Use amounts calculated in above requirements for calculation, if tequited. Neyative vatue should be indkcated by a minus sign. Round your answer to two docimal plsces. Is this yield dependent on whether the bond is expected to be called? 1. The expected capital gains (or loss) vield for the coming year does not depend on whether of not the bond is expected to be calted II. If the bond is expected to be called, the appropriate expected lotal ietum is the YrM III. It the bond is not expected to be called, the appropriate expected total return is the VIC: IV If the bond is expected to be calfed, the agpropriate expected total ietura nula not change. . The expected copital gains (or bss) vield for the coming year depends on whether or not the bond he expected to be called

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