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Consider a 10-year bond, 6% coupon rate with semi-annual interest payments, trading at a price of 102 on January 1, 2014 (par value = $1,000).
Consider a 10-year bond, 6% coupon rate with semi-annual interest payments, trading at a price of 102 on January 1, 2014 (par value = $1,000). These bonds are callable according to the following schedule: Can be recalled at price 102 on or after January 1, 2019 (1st recall date). Can be redeemed at 100 on or after February 1, 2022 (2nd redemption date - first redemption date). Calculate YTM, 1st yield, 1st par yield, and lowest rate (YTW) 1/1/2024 (maturity) $1,000 $1,000
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