Taussig Corp.'s bonds currently sell for $840 They have a 6.35% annual coupon rate and a 20-year maturity, but they can be called in 5 years at $1,067.50. Assume that no costs other than the call premium would be incurred to call and refund the bonds, and also assume that the yield curve is horizontal, with rates expected to remain at current levels on into the future. Under these conditions, what rate of return should an investor expect to earn if he or she purchases these bonds? a. 7.74% b. 7.98% c. 6.94% d. 8.69% 9.81% 25-year, $1,000 par value bond has an 8.5% annual payment coupon. The bond currently sells for S900 the yield to maturity remains at its current rate, what will the price be 5 years from now? $1,069.75 $698.06 $1,096.95 5906.57 $688.99 edyk Corporation's bonds have a 15-year maturity, a 7.25% semiannual coupon, and a par value of 00. The going interest rate (rd) is 7.50%, based on semiannual compounding, what is the bond $977.71 860.39 899.50 1,202.59 821.28