a a Q8. (20 marks) Finch Corporation has a bond outstanding with 10 years to...

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a a Q8. (20 marks) Finch Corporation has a bond outstanding with 10 years to maturity, an 8% nominal coupon, semiannual payments, and a $1,000 par value. The bond has a 6.50% nominal yield to maturity, but it can be called in 6 years at a price of $1,120. e) What is the bond's nominal yield to call? (10 marks) f) What is the bond's effective yield to call? (5 marks) g) Assuming that interest rates do not change from the present level, which yield might investors expect to earn on these bonds? Why

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