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A 25-year bond with 5% yearly coupons has a 5.5% current yield. It can be called in seven years at a call price of $1025.
A 25-year bond with 5% yearly coupons has a 5.5% current yield. It can be called in seven years at a call price of $1025. Find the yield to call. 5.84% 6.42% 6.97% 5.42%
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