Question: Can someone please explain the step to determine the solution to the following problem? Callable bond. Corso Books has just sold a callable bond. It

Can someone please explain the step to determine the solution to the following problem?

Callable bond. Corso Books has just sold a callable bond. It is a thirty year semiannual bond with an annual coupon rate of 6% and $1,000 par value. Investors, however, can call the bond starting at the end of 10 years. If the yield to call on this bond is 8% and the call requires Corso Books to pay one year of additional interest at the call (2 coupon payments), what is the bond price if priced with the assumption that the call will be on the first available call date?

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