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Draw the cash flow for each bond. Determine the par value based on bond type, the yield to maturity, term, and coupon payments, paid semiannually.

Draw the cash flow for each bond. Determine the par value based on bond type, the yield to maturity, term, and coupon payments, paid semiannually.

  1. The 6% coupon rate ABC bond has a current price of $1050, coupon payments paid semiannually, and two years until call and six years until maturity. Determine the yield to call and yield to maturity on ABC bond.

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