Assume that Kendal Corp. has an outstanding bond issue with a par value of $$1,000$ and a current market price of $$1,042\mathrm{.}70$ per bond.

The bond has nine years remaining and a coupon rate of $6$ percent. $($Use Excel to answer thls questlon. Enter your answer as a

percent rounded to $2$ declmal ploces.$)$

a$.$ Find the current yield to maturity for the Kendal Corp. bond. $($Do not round Intermedlete colculetlons. Enter your answer as a

percent rounded to $2$ declmal pleces.$)$

Answer is complete and correct.

Yield to maturity

$

b$.$ If the bond trades at a yield spread of $2\mathrm{.}30$ percent above comparable U$.$S$.$ Treasury notes, what must the current yield on Treasury

notes be$?($Do not round Intermedlete calculetions. Enter your answer as a percent rounded to $2$ declmal pleces.$)$

Answer is complete but not entirely correct.

Treasury yield

$7\mathrm{.}711\%$

c$.$ If the Kendal bond has a make$-$whole call premium of $140$ basis points above the U$.$S$.$ Treasury rate, what is the make$-$whole call

premium? $($Do not round Intermedlate calculatlons. Enter the make$-$whole yleld onswer as a percent rounded to $2$ declmal places.

Enter the make$-$whole prlce answer In dollars rounded to $2$ declmal places.$)$

Answer is not complete.