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2. A corporate bond with a 6% coupon (paid semiannually) has a yield to maturity of 7.5%. The bond matures in 20 years but is
2. A corporate bond with a 6% coupon (paid semiannually) has a yield to maturity of 7.5%. The bond matures in 20 years but is callable at $1050 in ten years. The maturity value is par. Calculate the bond's yield to call. % terms w/o $ sign. (HINT: Find the current price and then solve for YTC.) Question 5 1 pt A stock is expected to pay dividends of $ 4 per share for the foreseeable future. If the appropriate discount rate is 2.6 % then what should be the price of this stock
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