17. Tyson, Inc. issued a 20-year bond which is callable in 13 years. It has a...

 

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17. Tyson, Inc. issued a 20-year bond which is callable in 13 years. It has a coupon rate of 8.25% payable semiannually and has a call premium of $120. What is the yield to call to the investor if the investor purchases the bond at the price quoted at 91.8 in the financial press? (The face value of the bond is $1000.) a. 9.86%. b. 9.35%. c. 9.07%. d. 9.15%. ni. 17. Tyson, Inc. issued a 20-year bond which is callable in 13 years. It has a coupon rate of 8.25% payable semiannually and has a call premium of $120. What is the yield to call to the investor if the investor purchases the bond at the price quoted at 91.8 in the financial press? (The face value of the bond is $1000.) a. 9.86%. b. 9.35%. c. 9.07%. d. 9.15%. ni.

Answer rating: 100% (QA)

To calculate the yield to call YTC we need to find the rate of return an investor would earn if they ... View the full answer