Question: Last year Carson Industries issued a 1 0 - year, 1 3 % semiannual coupon bond at its par value of $ 1 , 0
Last year Carson Industries issued a year, semiannual coupon bond at its par value of $ Currently, the bond can be calle in years at a price of $ and it sells for $
a What are the bond's nominal yield to maturity and its nominal yield to call? Do not round intermediate calculations. Round your answers to two decimal places.
YTM:
YTC:
Would an investor be more likely to earn the YTM or the YTC
b What is the current yield? Hint: Refer to Footnote for the definition of the current yield and to Table Round your answer to two decimal places.
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