Question: A 2 0 - year maturity, 8 % coupon, $ 1 , 0 0 0 par value bond paying coupons semiannually is callable in five

A 20-year maturity, 8% coupon, $1,000 par value bond paying coupons semiannually is
callable in five years at a call price of $1,040. The bond currently sells at a yield to maturity
of 10%. What is the yield to call (YTC)?

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