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Use the bond term's below to answer the question Maturity 7 years Coupon Rate 5% Face value $1,000 Annual Coupons The bond is callable in
Use the bond term's below to answer the question Maturity 7 years Coupon Rate 5% Face value $1,000 Annual Coupons The bond is callable in year 4 The call price is $1,050 The interest rate in period 4 is 2% If the firm calls back the bond, how much does the firm save or lose? $34.78 0-$34.78 $36.52 -$39.99 O -$36.52 $39.99
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