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Bonds Voluablon: Calculating rields becalse it was easy to calculates however, because it can be misleading the yleld to maturity and yleld to cal are

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Bonds Voluablon: Calculating rields becalse it was easy to calculates however, because it can be misleading the yleld to maturity and yleld to cal are more relevark. sign is used for PN; otherwise, your answer will be incorrect. The yield to call (rTC) as the rate of retum eamed on s bond when it is cailed before its maturity dote. The equation far solving for the YTC is shomn belew: Priceofcallableboed=t=1x(1+rt)tDVT+(1+r4)4Callprice the annusi rate. In addtion, you need to make surs that the signs for MMT and FV are libertical and the opposite sign is used for PV; otherwise, your answer wil be incorrect. meavs thet the going market inerest rate is less than its coupon rate. each bond in the isue is $1,240.00. The berd issue is ca latie in 5 years at a call price of $1,075. What is the fond's carrent viele? De not round intermediate calculations. Hound your answer to twe decimai places. sign is used tor N; cenerwise, your answer wal be incerrect. The vield to call (r)c) is the rate of retum eamed an a bond when it is called before its maturity dace. The equasion for solving for the ric is shown below: Priceofcallablebond=i=1N(1+r4)TENT+(1+r4)NCallprice par-bectuse thin means that the going market interest rate is less than is coupon race. each bend in the issue is $1,260.00. The bend issue is calobie in 5 years at a cal price of 51,078 . What is the bond's current yield? Do not round intermedate calculations. Round your answer to two dedimal places. Whet is the bond's nominal annual yeid to call (rTC)? Do not round intermediate caleutabens, Round yeur answer to two decimal places. Assuming interest rates remain at current leves, wit the bond issue be calind? The 10m call the bond

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