Question
A 5.85 percent coupon bond with 14 years left to maturity can be called in nine years. The call premium is one year of coupon
A 5.85 percent coupon bond with 14 years left to maturity can be called in nine years. The call premium is one year of coupon payments. It is offered for sale at $1,167.50. What is the yield to call of the bond? (Assume interest payments are semiannual.)(Round your answer to 2 decimal places.)
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Investments
Authors: Zvi Bodie, Alex Kane, Alan J. Marcus
9th Edition
73530700, 978-0073530703
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