Company XYZ issued a ten-year corporate bond three years ago. The bond has 8% coupon rate, par value of $1,000 and pays interest semiannually. If the current interest rate is 6.5%, should XYZ call the bond? (1 point)

No because it is an extremely attractive investment compared to other corporate bonds

No because if XYZ issues a new bond, investors will be greatly exposed to financial risk

Yes because it decreases investors exposure to reinvestment risk

Yes because it can decrease payments if XYZ calls the bond and issues a new one

16. Go to the Federal Reserve website and obtain daily yields for November 1, 1999. The yield for securities with ten years till maturity equals ____ (1 point):

6.06%

6.55%

4.57%

3.12%