Question
A bond with a par value of $1,000 has a coupon rate of 7% p.a. and a maturity of 13 years. This bond is callable
A bond with a par value of $1,000 has a coupon rate of 7% p.a. and a maturity of 13 years. This bond is callable in 8 years at a price of $1,100. It is currently selling at $1,080. The coupons are paid semi-annually. The effective annual yield to maturity, effective annual yield to call and current yield of this bond are,
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Public Finance In Canada
Authors: Harvey S. Rosen, Wen, Snoddon
4th Canadian Edition
0070071837, 978-0070071834
