Question: 4. A 20 -year callable bond with $1000 par value with j2=6%. It is callable at the end of 10 years at 1.10 , or

4. A 20 -year callable bond with $1000 par value with j2=6%. It is callable at the end of 10 years at 1.10 , or at the end of 15 years at 1.05 of par. Determine the price to guarantee an investor a yield of j2=5%

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