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You recently purchased a 1 0 year 6 . 5 % coupon corporate bond that can be called in 5 years at $ 1 0
You recently purchased a year coupon corporate bond that can be called in years at $ The bond pays the coupon semiannually and you purchased it with a yield to maturity of In order for the bond to be called, how much must the yield to maturity change in order for the issuer to consider calling the bond?
Fall by about basis points
Increase by about basis points
Fall by about basis points
Increase by about basis points
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