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Q3 (10 points) Ideal Induatries has issued a ten-year callable 8% coupon bond. The bond can be called at 102 in three years or on
Q3 (10 points) Ideal Induatries has issued a ten-year callable 8% coupon bond. The bond can be called at 102 in three years or on a later coupon payment date. It has a current price of 99 and the bond pays semiammual coupon payments. The first coupon payment occurs at exactly 6 months from now. If the bond is called, this will occur just after the coupon has been paid. What is the bond's Yield To Maturity and Yield To Call
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