Problem:
A bond market price is 1,075; it has a $1,000 par value, will mature in 14 years and has a coupon interest rate of 11% annual interest, but makes it interest payments semiannually.
Requirement:
Question 1: What is the bond's yield to maturity if it matures in 14 years? (Round to two decimal)
Question 2: What happens to the bond's yield to maturity if the bond matures in 28 years?
Question 3: What if it matures in 7 years?
Note: Please describe comprehensively and provide step by step solution.