Determine their nominal yield to maturity

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Reference no: EM132063900

Yield to maturity

A firm's bonds have a maturity of 14 years with a $1,000 face value, have an 8% semiannual coupon, are callable in 7 years at $1,072, and currently sell at a price of $1,132.56.

What is their nominal yield to maturity? Do not round intermediate calculations. Round your answer to two decimal places. %

What is their nominal yield to call? Do not round intermediate calculations. Round your answer to two decimal places. %

What return should investors expect to earn on these bonds?

Reference no: EM132063900

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