10-year, 12% semiannual coupon bond with a par value of $1,000 may be called in 4 years at a call price of $1,060. The bond sells for $1,100.   What is the bond’s capital gain or loss yield and current yield?

Assume you buy a five-year, $1,000 par value bond with a 6% coupon and a 7% yield. Immediately after you acquire the bond, the yield increases to 8% and remains there until maturity. Calculate the realised horizon yield on a bond that you intend to keep till maturity. Annual interest is paid.

A 4-year bond, with a face value of $1000, and a coupon rate of 5% (coupon is paid semi-annually), has current yield of 4.76%. Is this bond sold at a discount, or at a premium? Determine the yield to maturity of this bond.

A 7.0 percent coupon bond with 25 years left to maturity can be called in four years. The call premium is one year of coupon payments. It is offered for sale at $1,066. What is the yield to call of the bond? (Assume that interest payments are paid annually and par value is $1,000.)