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Can someone help me solve for the Call Premium (Penalty) and the Yield to Call? Please show any calculations or excel formulas used. Yield to

Can someone help me solve for the Call Premium (Penalty) and the Yield to Call? Please show any calculations or excel formulas used.

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Yield to Call is a similar concept to YTM, but measures the return to the earliest Call Date rather than to the Maturity date. The final repayment of principal includes a Call Premium equal to one interest payment. In your Rate() function, be sure to add that as a part of the FV to be received at maturity. Calculate Yield to Call: $ $ 1,000 25 18 1,000 22 12 3 3 Bond par Years remaining to maturity: Years remaining to earliest call Call premium (penalty): Coupon rate: Payments per year: Price paid for bond: 4 Bond par Years remaining to maturity: Years remaining to earliest call Call premium (penalty): Coupon rate: Payments per year: Price paid for bond: 4.70% 5.20% 2 $ 972 $ 1,022 Yield to Call (Use RATE() function) Yield to Call (Use RATE() function) Hint: When using the RATE() function, the result is a Periodic rate. We want the APR

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