Question: Nico Corp issued a callable bond which bears a coupon rate of 8%, has 10 years remaining to maturity, and is currently priced at

Nico Corp issued a callable bond which bears a coupon rate of 8%, has 10 years remaining to maturity, and is

Nico Corp issued a callable bond which bears a coupon rate of 8%, has 10 years remaining to maturity, and is currently priced at $1100 per share If the bond pays coupon yearly. The par value is $1000. What will be its yield to maturity (YTM)? Demonstrate your calculation by providing the input values and calculated result. N=1/Y= PV= PMT= N=1/Y-PV- FV Compute: The bond could be called in 4 years with a call price of $1200. What will be its yield to call (YTC)? PMT- FV= Answer: Compute: Answer:

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