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7.The current price of a 20-year bond with a 9% annual coupon rate is $968. The bond is callable after 10 years with a call
7.The current price of a 20-year bond with a 9% annual coupon rate is $968. The bond is callable after 10 years with a call price of $1,185. If interest payment is made annually, a) what is the bonds yield to maturity? b) what is the bonds yield to call? 8. Using the same information in Q#7, if interest payment is made semi-annually, a) what is the bonds yield to maturity? b) what is the bonds yield call?
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