Problems 5 and 6 refer to the bonds of Apollo Corporation, all of which have a call feature. The call feature allows Apollo to pay off bonds any time after the first 15 years, but requires that bondholders be compensated with an extra year's interest at the coupon rate ifsuch a payoff is exercised Apollo's Alpha-1 bond was issued at a time when interest rates were even higher. It has a coupon rate of 22%, a $1,000 face value, an initial term of 30 years, and is now 13 years old. Calculate its price if interest rates are now 12%, compare it with the price that would exist if there were no call feature, and comment on the difference. a. Calculate its price if interest rates are now 12%. b. Calculate its price if there were no call feature. c. Comment on the difference between the bond's price with call feature and with no call feature. 6