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Short Question Q.2 Deewan Fibers issued bonds having the maturity of 17 years, 2 years ago at a coupon rate of 8.5 percent. The bonds
Short Question Q.2 Deewan Fibers issued bonds having the maturity of 17 years, 2 years ago at a coupon rate of 8.5 percent. The bonds make semiannual payments. These bonds currently sell for Rs 1100. a) What is yield-to-maturity? [Marks 02] b) What is the current yield? [Marks 01) c) Suppose these bonds are callable in the next 5 years for Rs. 1050. What will be its yield to call? [Marks 02]
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