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ABC Inc. recently issued $1,000 par bonds at a 8.40% coupon rate. The bonds have 18 years to maturity and the current price is $1,099.
ABC Inc. recently issued $1,000 par bonds at a 8.40% coupon rate. The bonds have 18 years to maturity and the current price is $1,099. If the call price is $1,150 and the bond can be called in 12 years, what is the yield to call? Assume semi-annual compounding
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