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A 4.75 percent coupon municipal bond has 20 years left to maturity and has a price quote of 101.30. The bond can be called in
A 4.75 percent coupon municipal bond has 20 years left to maturity and has a price quote of 101.30. The bond can be called in eight years. The call premium is one year of coupon payments. (Assume interest payments are semiannual and a par value of $5,000.)
Compute the bonds current yield. (Round your answer to 2 decimal places.)
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