Yield to Maturity and Call with Semiannual Payments
Thatcher Corporation's bonds will mature in 11 years. The bonds have a face value of $1,000 and an 9% coupon rate, paid semiannually. The price of the bonds is $1,050. The bonds are callable in 5 years at a call price of $1,050. Round your answers to two decimal places.
A) What is their yield to maturity?(%)
B) What is their yield to call?(%)