Question: Question 3 (2 points) A company issues a callable (at par) five-year, 7% coupon bond with annual coupon payments. The bond can be called at

Question 3 (2 points) A company issues a callable (at par) five-year, 7% coupon bond with annual coupon payments. The bond can be called at par in one year after release or any time after that on a coupon payment date. On release, it has a price of $107 per $100 of face value. What is the yield to call of this bond when it is released? 2.73% 1.40%% 0.00% 4.71% 5.37%

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