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Seven years ago the Singleton Company issued 20-year bonds with an 8% annual coupon rate at their $1,000 par value. The bonds had a 10%
Seven years ago the Singleton Company issued 20-year bonds with an 8% annual coupon rate at their $1,000 par value. The bonds had a 10% call premium, with 5 years of call protection. Today Singleton called the bonds. Compute the realized rate of return for an investor who purchased the bonds when they were issued and held them until they were called. 9.08% 9.95% 10.44% 8.00% O6.20%
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