Question: someone help me with the answer please A 30-year bond with par value of 1,000 making annual coupon payments of 80, payable semiannually, is callable

someone help me with the answer please

A 30-year bond with par value of 1,000 making annual coupon payments of 80, payable semiannually, is callable in 5 years at 1,100. Yield to maturity is 7% annually.

What is the yield to call of the bond? (4 marks)

What is yield to call if call price declines to 1,050? (4 marks)

When investing in bonds, you should choose bonds with higher yield to maturity because their expected return is higher. What is your stand on this argument? (5 marks)

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