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Swing Co. has 9% coupon bonds but semi-annual payment that are callable and have 18 years left until maturity. The bonds have a par value
Swing Co. has 9% coupon bonds but semi-annual payment that are callable and have 18 years left until maturity. The bonds have a par value of $1,000, and their current market price is $1,160. However, Swing Co. may call the bonds in nine years at a call price of $1,060. What are the YTM and the yield to call (YTC) on Swing Co.s bonds?
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