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What is the yield to maturity (YTM) for a 10% Treasury bond with a price of 130 and semi-annual payments that matures in 25 years?

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A. What is the yield to maturity (YTM) for a 10% Treasury bond with a price of 130 and semi-annual payments that matures in 25 years?

b. What is the yield to call (YTC) on the bond in part a. that is callable at par ($100) in 10 years?

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The solution calculates step-by-step the YTM and the YTC on the bond.

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a. What is the yield to maturity (YTM) for a 10% Treasury bond with a price of 130 and semi-annual payments that matures in 25 years?

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