Question
A 5.40 percent coupon bond with 15 years left to maturity can be called in five years. The call premium is one year of coupon
| A 5.40 percent coupon bond with 15 years left to maturity can be called in five years. The call premium is one year of coupon payments. It is offered for sale at $1,075.70. What is the yield to call of the bond? (Assume interest payments are semiannual.) (Round your answer to 2 decimal places.) |
| Yield to call | % |
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A Study In Public Finance
Authors: A. C. Pigou
1st Edition
1443722766, 978-1443722766
