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Masters Corp. issues two bonds with 15-year maturities. Both bonds are callable at $1,090. The first bond is issued at a deep discount with a
Masters Corp. issues two bonds with 15-year maturities. Both bonds are callable at $1,090. The first bond is issued at a deep discount with a coupon rate of 4% to yield 10.5%. The second bond is issued at par value with a coupon rate of 11.50% a. What is the yield to maturity of the par bond? (Round your answer to 2 decimal places.)
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