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Table: Current Bond Available Par Value Time to Maturity Coupon rate Yield to Maturity Coupon Payment dates Call features Year Issued $1000 7 years 8%
Table: Current Bond Available Par Value Time to Maturity Coupon rate Yield to Maturity Coupon Payment dates Call features Year Issued $1000 7 years 8% paid Annually 8% 1 Oct 5 years at 10% premium 2045 Information: The bond was issued in 2045 and exactly 1 year have passed and now there is 6 years left to maturity on the bond. Johnny decides to purchase the bond that trades at a price of $1250. Answer the following questions as at the current time with 6 years left to maturity. a.) Calculate current Yield (CY) b.) Calculate Yield to Maturity (YTM) c.) Calculate Yield to Call on the Bond (YTC)
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