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Assume that today is January 1, 2022. United Airlines issued a bond with the following characteristics on January 1, 2019: - Maturity date of December
Assume that today is January 1, 2022. United Airlines issued a bond with the following characteristics on January 1, 2019:
- Maturity date of December 31, 2029
- 6% semiannual coupons
- $1,000 par value
- Currently selling for $876.25
- Callable for 6 years after issue at a price of $1,120
What is the yield-to-call (YTC) of this bond? What is the yield-to-maturity (YTM) of this bond?
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