Question
A company has some bonds outstanding with maturity of 14 years and par value of $1,000. The coupon rate on those bonds is 12% with
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A company has some bonds outstanding with maturity of 14 years and par value of $1,000. The coupon rate on those bonds is 12% with semi-annual payments and the yield to maturity is 9.75%. Those bonds can be called in 4 years at $1,150. What is the yield to call (YTC)?
12.40%
9.90%
7.78%
8.80%
11.09%
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Behavioral Finance And Wealth Management
Authors: Michael M. Pompian
2nd Edition
1118014324, 978-1118014325
