What is the bond yield to call

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Haslam, Inc. bonds have 18 years to maturity and a coupon rate of 7.0%. The par value is $1,000 and the bond makes semiannual payments. If the bond is trading for $900.00 then:

Suppose in one year the YTM is 6.0% . What will be the percent change in the bond's price over the year? a. 22.9% b. 23.5% c. 24.5% d. 25.4% e. 26.3%.

Suppose the bond is callable in 5 years at a price of $1,100. What is the bond's yield to call? a. 9.56% b. 11.21% c. 11.32% d. 11.89% e. 12.36%.

Reference no: EM131830093

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