The Peach Pit just issued a 20-year bond with an 8% coupon (compound semi-annually), $1,000 par, and yield to maturity of 8.8% exactly 5 years ago. Furthermore, Brandon tells you the bond can be called in 5 years at a call price of $1,080.
What is this bond’s yield to call?

Answer rating: 100% (QA)

The yield to call on a bond is the annual interest rate that equates the bonds expected cash flows c... View the full answer