Question: ncan someone explain these questions step by step please. 1. John Deere has just issued 20-year, $1000 par value callable bonds. The bonds pay coupon

ncan someone explain these questions step by step please.

1. John Deere has just issued 20-year, $1000 par value callable bonds. The bonds pay coupon semi-annually with a coupon rate of 8%. The bonds are callable in 5 years with a call premium of $100. If the yield to call is 10%, calculate the price of the bonds. Ans: $984.17

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