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A firm's bonds have a maturify of 8 years wht a $1,000 face value, have an 1146 semiannual coupon, are callable in 4 years at

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A firm's bonds have a maturify of 8 years wht a $1,000 face value, have an 1146 semiannual coupon, are callable in 4 years at $1,146.86, and currently seil at a price of $1,270.25. What are their nominal yield to maturity and their nominal yeld to call? 00 not round intermediate calculations. Round yeur answers to two decimal places. What return should investers expect to earn en these bonds? 1. Investors wovld expect the bonds to be called and to earn the YTC becouse the rTC is less than the YTM. It. Inventon would tepect the bonds to be called and to eam the Yre because the rTC ls greater then the riM. III. Ifvestors would not expect the bonds to be called and to earn the YTM because the YTM is greater then the YIC IV. Invectors would not expect the bonds to be caled and to earn the YTM becouse the YTM is less than the VTC

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