(4) Suppose a firm issued an 8% coupon (paid semiannually), $1,000 par value bond 30 years ago. The bond now has 10 years left until its maturity date but the firm is having financial difficulties. Investors believe that the firm will be able to make good on the remaining interest payments but that at the maturity date, the firm will be forced into bankruptcy, and bondholders will receive only 85% of par value. The bond is now selling at $900. Compute the expected YTM considering the possibility of default. (5) A bond has a 9.6 percent coupon, \$1,000 par vale, and 10 years until its maturity date. Coupons are paid semiannually. The bond is now selling at $1,200. What is the current yield? (6) Six years ago, Footnote Inc. (NYSE: FT) issued a 15-year bond with a $1,000 face value and an 8 percent coupon rate of interest. Interest is paid semiannually. The bond is currently selling for $1,050. If the bond can be called in five years for a redemption price of $1,080, what is the bond's yield to call (YTC)? (7) A 20-year maturity, 8\% coupon, \$1,000 par value bond paying coupons semiannually is callable in five years at a call price of $1,040. The bond currently sells at a yield to maturity of 10%. What is the yield to call (YTC)