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Watch-Over-Ya Corporation has bonds outstanding with a $1,000 face value and 10 years left until maturity. They have an 8.5% annual coupon payment, and

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Watch-Over-Ya Corporation has bonds outstanding with a $1,000 face value and 10 years left until maturity. They have an 8.5% annual coupon payment, and their current price is $1,201.96. The bonds may be called in 5 years at 109.525% of face value (Call price = $1,095.25). What is the yield to maturity?

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