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Marcie purchased a callable bond (7%, annual, 20 years maturity) when rates were 8%. The bond can be called after 10 years. What is the

Marcie purchased a callable bond (7%, annual, 20 years maturity) when rates were 8%. The bond can be called after 10 years. What is the yield to call if there is a call premium of one years interest?

7%

8%

8.16%

8.99%

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