Question
A 25-year, 8.3500% semi-annual bond with a PAR value of $1,000 is currently selling for $1360with a YTM of 5.6452% NOTE: No calculation required, this
A 25-year, 8.3500% semi-annual bond with a PAR value of $1,000
is currently selling for $1360with a YTM of 5.6452% NOTE: No calculation required, this is the YTM for the bond
The bond could be called after NINE (9) years
for a CALL price of $1055
CALCULATE: YTC (Yield to CALL)
COMPLETE: Call Decision (yes or no) choice
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Financial Management
Authors: Geoffrey Knott
4th Edition
1403903824, 9781403903822
