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(Solved): A 25 year bond was issued 10 years ago. It has \( \$ 1,000 \) par value bond has an \( 9.5 \% \) an ...
A 25 year bond was issued 10 years ago. It has \( \$ 1,000 \) par value bond has an \( 9.5 \% \) anmual payment coupon. The bond currently sells fot \( \$ 825 \). If the yield to maturity remains at its current rate, what will the price be 5 years from now? \[ 5854.68 \] \[ \$ 856.82 \] \( 5817.11 \) \[ 5822.15 \] \[ 5825.00 \] \[ 5835.17 \]
Mighty Mollusk Inc.(aka Genuine) issued a 30 -year bond that is callable in 8 years. It has a coupon rate of \( 5.5 \% \) payable semiannually, a yield to maturity of \( 8 \% \), and a call premium of \( \$ 55 \). What is the yield to call? \( 5,44^{\circ} \) \( 5.72 \% \) \( 10.88 \% \) \( 11.43 \% \)