Question: 4. [10] A 12 year coupon bond with face value $ 1000 is issued at $ 1020. The coupon rate is 5%. It is callable

4. [10] A 12 year coupon bond with face value $

4. [10] A 12 year coupon bond with face value $ 1000 is issued at $ 1020. The coupon rate is 5%. It is callable just after 8 years at $ 1010. (a) [5] Find the yield to call. (b) [5] Find the yield to the worst

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