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The $1,000 face value Orient bond has a coupon rate of 8%, with interest paid semiannually, and matures in 10 years. The bond current price

The $1,000 face value Orient bond has a coupon rate of 8%, with interest paid semiannually, and matures in 10 years. The bond current price is $1856. The bond can be called in 4 years. The call premium on the bond is 8% of par. (7 marks)

a) What is the bond's yield to maturity (YTM)? b) What is the bonds yield to call (YTC)? c) Would an investor be more likely to earn the YTM or the YTC? Explain

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