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A 10-year, 12 % semiannual coupon bond with a par value of $1,000 may be called in 4 years, at a call price of $1,060.

A 10-year, 12 % semiannual coupon bond with a par value of $1,000 may be called in 4 years, at a call price of $1,060. The bond sells for $1,300. (Assume the bond has just been issued). a. What is the bonds yields to maturity? b. What is the bonds current yield? c. What is the bonds capital gain or loss yield in the first year? d. What is the bonds yield to call?

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