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5. LLP companys bonds have a 6% annual coupon and a 10-year remaining maturity. The par value is $1,000. You purchase LLP bonds for $965.

5. LLP companys bonds have a 6% annual coupon and a 10-year remaining maturity. The par value is $1,000. You purchase LLP bonds for $965.

a) Find the YTM. (3 pts)

b) If you sell it at a 7% YTM a year later, find your HPR (holding period return). (3 pts)

c) If the bonds are called at a $1,030 call price in 4 years, find the YTC. (3 pts)

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