Question
A callable bond pays annual interest of $55, has a par value of $1,000, matures in 20 years but is callable in 10 years at
A callable bond pays annual interest of $55, has a par value of $1,000, matures in 20 years but is callable in 10 years at a price of $1,055, and has a value today of $951.73. The yield-to-call on this bond is _________.
| 5.50% | ||
| 6.58% | ||
| 7.27% | ||
| 7.76% |
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Financial Accounting in an Economic Context
Authors: Jamie Pratt
8th Edition
9781118139424, 9781118139431, 470635290, 1118139429, 1118139437, 978-0470635292
