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PLease answer all 3 questions ! show work how you got the answer QUESTION 1 McCue Inc.'s bonds currently sell for $1,102. They pay a

PLease answer all 3 questions ! show work how you got the answer

QUESTION 1

McCue Inc.'s bonds currently sell for $1,102. They pay a $90 annual coupon, have a 25-year maturity, and a $1,000 par value, but they can be called in 5 years at $1,180. Assume that no costs other than the call premium would be incurred to call and refund the bonds, and also assume that the yield curve is horizontal, with rates expected to remain at current levels on into the future. What is this bond's YTM? What is this bond's YTC?

QUESTION 2

Radoski Corporation's bonds make an annual coupon interest payment of 7.75% every year. The bonds have a par value of $1,000, a current price of $980, and mature in 11 years. What is the yield to maturity on these bonds?

QUESTION 3

A 10-year, $1,000 par value bond has a 9.25% coupon interest rate. Coupon payments are paid semi-annually. The bond currently sells for $1,095. If the yield to maturity remains at its current rate, what will the price be 4 years from now?

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