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Consider a bond that matures at par ($1,000) in 19 years. It has a nominal rate of 6.25% and is currently trading in the market

  1. Consider a bond that matures at par ($1,000) in 19 years. It has a nominal rate of 6.25% and is currently trading in the market for 1125. The issue is callable in 8 years at 1030 and its duration is 13.8. Please calculate the YTM, the YTC and show both results. From there indicate which should be used for an investment decision. Lastly, please calculate how much impact a 1. 5% increase in rates will have on the bond. Please show work and keystrokes below.

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