A Treasury bond maturing in November 2014 and callable in November 2009 has a quoted price of 107 06 and a coupon rate of 11 75 percent Assuming the bond matures in exactly 6 years, what is the yield to call ...

A Treasury bond maturing in November 2014 and callable in November 2009 has a quoted price of

Question:

A Treasury bond maturing in November 2014 and callable in November 2009 has a quoted price of 107:06 and a rate of 11.75 percent. Assuming the bond matures in exactly 6 years, what is the yield to call?

Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a...