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PLEASE SHOW FORMULAS / HOW TO Highfield Inc's bonds currently sell for $1,100 and have a par value of $1,000. They pay a $80 annual

PLEASE SHOW FORMULAS / HOW TO

Highfield Inc's bonds currently sell for $1,100 and have a par value of $1,000. They pay a $80 annual coupon and have a 15-year maturity, but they can be called in 5 years at $1,080. What is their yield to call (YTC)? Ans: 6.96%

Yest Corporation's bonds have a 15-year maturity, a 7% semiannual coupon, and a par value of $1,000. The going interest rate (rd) is 6%. What is the bonds price? Ans:1,098.00

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