Question: Actuarial solution please, SECTION 4.3 4.3.1 A 10% bond with face amount 100 is callable on any coupon date from 15% years after issue up

Actuarial solution please, Actuarial solution please, SECTION 4.3 4.3.1 A 10% bond with face

SECTION 4.3 4.3.1 A 10% bond with face amount 100 is callable on any coupon date from 15% years after issue up to the maturity date which is 20 years from issue. (a) Find the price of the bond to yield a minimum nominal annual rate of (i) 12%, (ii) 10%, and (iii) 8%. (b) Find the minimum annual yield to maturity if the bond is pur- chased for (i) 80, (ii) 100, and (iii) 120. 4.3.2.Repeat Exercise 4.3.1 assuming that the bond is callable at a re- demption amount of 110, including the redemption at maturity

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