Question
You own a $1,000 face value Lehman Brothers bond with an 8% coupon, the bond matures in 10 years and it is callable in
You own a $1,000 face value Lehman Brothers bond with an 8% coupon, the bond matures in 10 years and it is callable in 5 years at a redemption price of $1,020, The current price of the bond is $980. What is the yield to call on the bond?
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Contemporary Financial Management
Authors: James R Mcguigan, R Charles Moyer, William J Kretlow
10th Edition
978-0324289114, 0324289111
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