L'albicocca Company has a bond outstanding with $15$ years to maturity, an $8\mathrm{.}25\%$ nominal coupon, semiannual payments, and a $$1,000$ par value. The bond has a $6\mathrm{.}50\%$ nominal yield to maturity, but it can be called in $6$ years at a price of $$1,120.$ What is the, bond's nominal yield to call?

Answer$-$

Bond Details:

Time to Maturity: $15$ years

Nominal Coupon Rate: $8\mathrm{.}25\%$

Payment Frequency: Semiannual

Par Value: $$1,000$

Nominal Yield Information:

Yield to Maturity: $6\mathrm{.}50\%$

Call Option: Callable in $6$ years at $$1,{120}_{?}$

Current Bond Price Calculation:

Nper $($Periods$)$: $30$

FV $($Face Value$)$: $$1,000$

Semi$-$annual Rate: $6\mathrm{.}50\frac{\%}{2}$

PMT $($Interest Payment$)$: $$41\mathrm{.}25$

Calculated PV $($Current Bond Price$)$: $$1,166\mathrm{.}09$

Nominal Yield to Call Calculation:

Nper: $12$

FV: $$1,120$

PMT: $$41\mathrm{.}25$

PV: $$1,166\mathrm{.}09$

Calculated Rate $($Nominal Yield to Call$)$: $6\mathrm{.}53\%$

Solution

The nominal yield to call for L'albicacca Company's bond is calculated to be $6\mathrm{.}53\%.$Is this answer right yes or no$.$ If not give me the right one please