A 6.75 percent coupon bond with 13 years left to maturity can be called in two years.
Fantastic news! We've Found the answer you've been seeking!
Question:
A 6.75 percent coupon bond with 13 years left to maturity can be called in two years. The call price is $1067.5. It is offered for sale at $919.75. What is the yield to call of the bond? Assume interest payments are paid semi-annually and par value is $1,000.
Related Book For
Finance Applications and Theory
ISBN: 978-0077861681
3rd edition
Authors: Marcia Cornett, Troy Adair
Posted Date: