Question
A 6.20 percent coupon bond with 24 years left to maturity can be called in nine years. The call premium is one year of coupon
A 6.20 percent coupon bond with 24 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 $1,115.25. 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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Personal Financial Planning
Authors: Randy Billingsley, Lawrence J. Gitman, Michael D. Joehnk
14th edition
978-1305887725, 1305887727, 1305636619, 978-1305636613
