Consider a callable bond with a par value of $ 100 and

an annual coupon rate of 5.5%. The bonds have a term of 20 years and

The call protection period of the bonds is 10 years. These bonds can be redeemed:

at the end of year 11 to year end 15 at a price of $ 104.

at the end of the 16th year until the end of the 20th year at par value.

Of course, the price of the bond if the yield rate of the bond is not

less than 5.3%.

this is callable bond

Determine the price of the bond if the yield rate of the bond is not

less than 5.3%