Question
The Peach Pit just issued a 20-year bond with an 8% coupon (compound semi-annually), $1,000 par, and yield to maturity of 8.8% exactly 5 years
The Peach Pit just issued a 20-year bond with an 8% coupon (compound semi-annually), $1,000 par, and yield to maturity of 8.8% exactly 5 years ago. Furthermore, Brandon tells you the bond can be called in 5 years at a call price of $1,080. What is this bond’s yield to call? |
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Investment Analysis and Portfolio Management
Authors: Frank K. Reilly, Keith C. Brown
10th Edition
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