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Yield to maturity A firm's bonds have a maturity of 14 years with a $1,000 face value, have an 11% semiannual coupon, are callable in

Yield to maturity

A firm's bonds have a maturity of 14 years with a $1,000 face value, have an 11% semiannual coupon, are callable in 7 years at $1,241, and currently sell at a price of $1,411.89.

  1. A.Whatistheirnominalyieldtomaturity?Donotroundintermediatecalculations.Roundyouranswertotwodecimalplaces.
  2. B. What is their nominal yield to call? Do not round intermediate calculations. Round your answer to two decimal places.

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