Question: Paradise Adventures issued 7% coupon bonds with a maturity of twenty years five years ago. The bonds are callable beginning 10 years prior to maturity at 103% of par value. The bonds are currently priced at 99.25% of par. Coupons are paid semiannually and the face value is $1,000.
(1) What is the YTM?
(2) What is the YTC?
(3) Which is the relevant yield for an investor?