What is the current yield for a $$1,000$ corporate bond that pays $13\mathrm{.}5$ percent and has a current market value of $$920?$ Current Yield $=\frac{\text{A}\text{n}\text{n}\text{u}\text{a}\text{l}\text{I}\text{n}\text{t}\text{e}\text{r}\text{e}\text{s}\text{t}\text{I}\text{n}\text{c}\text{o}\text{m}\text{e}}{\text{C}\text{u}\text{r}\text{r}\text{e}\text{n}\text{t}\text{M}\text{a}\text{r}\text{k}\text{e}\text{t}\text{V}\text{a}\text{l}\text{u}\text{e}of\text{B}\text{o}\text{n}\text{d}}$

$13\mathrm{.}5\%$

$14\mathrm{.}57\%$

$28\mathrm{.}17\%$

$15\mathrm{.}74\%$

$41\mathrm{.}67\%$

$28\mathrm{.}17\%$

$15\mathrm{.}74\%$

$41\mathrm{.}67\%$

Question $14$

A call feature:

allows bondholders to convert their bond to a specified number of shares of common stock.

is not available on corporate bonds.

allows the corporation to buy outstanding bonds from current bondholders before the maturity date.

is only available with government securities$.$

is guaranteed by the corporation.