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Eve enterprise bonds currently sell for 1 1 5 0 they have a 6 . 3 5 % animal coupon rates and a 2 0

Eve enterprise bonds currently sell for 1150 they have a 6.35% animal coupon rates and a 20 year maturity but they can be called in five years at Thousand 67.50 assumed that no cost other than call premium would be incurred to call and refund the blonde and also assume that the yield curve is horizontal with the grades expected to remain at current levels on into the future under these conditions what rate of return should an invested expect to earn if he or she purchases tHese bonds

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