Question
Consider a 20-year callable annual coupon bond with a face value of $1000 and a coupon rate of 8%. The bonds can be called after
Consider a 20-year callable annual coupon bond with a face value of $1000 and a coupon rate of 8%. The bonds can be called after 5 years for a price of $1030 and is currently selling in the market for $987. Calculate the yield to call.
| A | 8.84% | |
| B | 8.06% | |
| C | 8.13% | |
| D | 8.51% |
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An Introduction To Financial Markets A Quantitative Approach
Authors: Paolo Brandimarte
1st Edition
1118014774, 9781118014776
