Task1. Hooper Printing Inc. has bonds outstanding with 10 years left to the maturity. The bonds have a 7% annual coupon rate and were issued one year ago at their par value of $1,000. But, because of changes in interest rates, the bond's market price has fallen down to $810.40. The capital gains yield previous year was - 18.96%.
Question1. What is yield to maturity?
Question2. For the coming year, what is expected current yield?
Question3. For the coming year, what is expected capital gains yield?