A corporate bond pays interest twice a year and has 22 years to maturity, a face value of $1000 and a coupon rate of 5.7%. The bonds current price is $1432.55. It is callable starting 16 years from now (years to call) at a call price of $1095. Part 1: What is the bonds (annualized) yield to maturity?

Part 2: What is the bonds (annualized) yield to call?

Part 3: If you buy the bond today and hold it as long as possible, which rate of return can you expect to earn? a) The yield to call (YTC) b) The yield to maturity (YTM)