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A 16-year maturity, 9.10% coupon bond paying coupons semiannually is callable in 11 years at a call price of $1,195. The bond currently sells at
A 16-year maturity, 9.10% coupon bond paying coupons semiannually is callable in 11 years at a call price of $1,195. The bond currently sells at a yield to maturity of 8.10% .
a. What is the yield to call?
b. What is the yield to call if the call price is $1,145?
c. What is the yield to call if the call price is $1,195 but the bond can be called in 7 years instead of 11 years?
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