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Your broker has just called and offered you the choice of two bonds. Both Bonds have a face value of $1,000. Bond A does not

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Your broker has just called and offered you the choice of two bonds. Both Bonds have a face value of $1,000. Bond A does not have a Call Provision, matures in seven (7) years, carries a Coupon Rate of 4.62% and has a market price of $1,005. Bond B matures in fifteen (15) years, carries a Coupon Rate of 4.25%, has a market price of $1,000, but has a Call Provision for all the Bonds in seven (7) years. The Call Premium is 4.0%. Interest rates have been coming down, the Federal Reserve Bank has said they will continue to lower rates, and both you and your broker are convinced that Bond B will be called in seven (7) years. Which bond will provide you a better yield? What is the Yield to Maturity on Bond A? What is the Yield to Maturity on Bond B? What is the 7-year Yield to Call on Bond B? Which bond should you buy? Answer exactly with either "Bond A" or "Bond B", without the quotation marks of course

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