Last year ta co issued a 10-year 12 semiannual coupon bond


Last year TA Co. issued a 10-year, 12% semiannual coupon bond at its par value of $1,000. Currently the bond can be called in 4 years at a price of $1,060 and it sells for $1,100. What are the bond’s nominal yield to maturity and its nominal yield to call? Would an investor be more likely to earn the YTM or the YTC?

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Financial Management: Last year ta co issued a 10-year 12 semiannual coupon bond
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