Problem $7\mathrm{.}08($Yield to Call$)$

eBook Compute the realized rate of return for an investor who purchased the bonds when they were issued and held them until they were called. Round your answer to two decimal places.

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Why should or should not the investor be happy that Templeton called them? so at lower interest rates. do so at higher interest rates.

III. Investors should be happy. Since the bonds have been called, investors will receive a call premium and can declare a capital gain on their tax returns.

IV$.$ Investors should be happy. Since the bonds have been called, investors will no longer need to consider reinvestment rate risk.

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