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ASAP Suppose you buy a 6.6 percent coupon bond today for $1,110. The bond has 7 years to maturity. a. What rate of return do

ASAP

Suppose you buy a 6.6 percent coupon bond today for $1,110. The bond has 7 years to maturity.

a.

What rate of return do you expect to earn on your investment?(Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.)

Rate of return %

b.

Two years from now, the YTM on your bond has increased by 2 percent, and you decide to sell. What price will your bond sell for?(Do not round intermediate calculations. Round your answer to 2 decimal places. Omit the "$" sign in your response.)

Price $

Fooling Company has a 12 percent callable bond outstanding on the market with 25 years to maturity, call protection for the next 10 years, and a call premium of $75. What is the yield to call (YTC) for this bond if the current price is 109 percent of par value?(Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.)

Yield to call

%

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