Chapter 6: Bonds Yield to maturity (YTM), yield to call (YTC), and yield to worst (YTW). You purchase a Catepillar callable bond on April 28, 2021 (T+2) that matures March 1, 2097. The bond has a face value of $1,000, a coupon rate of 7.375% that is paid semiannually, and is currently trading at 155.629%. The call feature allows Catepillar to redeem the bonds early at a call price of 103.19 percent of par. The first date bonds are eligible to be called is March 1, 2047. Settlement date Ist call date Call price Maturity Par S Coupon Annual coupon 100 2 Using the above information, ansver the following? What is the Yield tp Maturity (YTM)? What is the yield to call (YTC)? What is the yield to worst (YTW)? For the following bond prices do the following: a. Calculate the yield to maturity (YTM). b. Calculate the yield to call (YTC). c. Determine the yield to worst (YTW). 150 152.5 155 157.5 160 Bond price Call price YTM YTC YTW Chapter 6: Bonds Yield to maturity (YTM), yield to call (YTC), and yield to worst (YTW). You purchase a Catepillar callable bond on April 28, 2021 (T+2) that matures March 1, 2097. The bond has a face value of $1,000, a coupon rate of 7.375% that is paid semiannually, and is currently trading at 155.629%. The call feature allows Catepillar to redeem the bonds early at a call price of 103.19 percent of par. The first date bonds are eligible to be called is March 1, 2047. Settlement date Ist call date Call price Maturity Par S Coupon Annual coupon 100 2 Using the above information, ansver the following? What is the Yield tp Maturity (YTM)? What is the yield to call (YTC)? What is the yield to worst (YTW)? For the following bond prices do the following: a. Calculate the yield to maturity (YTM). b. Calculate the yield to call (YTC). c. Determine the yield to worst (YTW). 150 152.5 155 157.5 160 Bond price Call price YTM YTC YTW