Question: For a callable Treasury bond selling above par, is it necessarily true that the yield to call will be less than the yield to maturity?
For a callable Treasury bond selling above par, is it necessarily true that the yield to call will be less than the yield to maturity? Why or why not?
Step by Step Solution
3.56 Rating (160 Votes )
There are 3 Steps involved in it
It is true The reason is that Treasuries are callable at par If two premium bo... View full answer
Get step-by-step solutions from verified subject matter experts
Document Format (1 attachment)
175-B-A-I (2166).docx
120 KBs Word File
