Computation of bond''s nominal yield to maturity

Reference no: EM1314790

Computation of bond's nominal yield to maturity and their nominal yield to call

A firm's bonds have maturity of 10 years with a $1000 face value, an 8 percent semiannual coupon, are callable in 5 years at $1050 and, currently sell at a price of $1100. What are their nominal yield to maturity and their nominal yield to call?

What return should investors expect to earn on this bond?

Reference no: EM1314790

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