You own a callable bond with 6 years left to maturity. It has a face value of

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You own a callable bond with 6 years left to maturity. It has a face value of $1000. It pays semiannually, has a 6.3% yield and a 5.7% coupon rate. The call premium is $20. Calculate how much the bond issuer will make if these bonds were called in.

$20

$49.60

$231.57

They wouldn't call the bonds in.

$49.23

Posted Date: May 18, 2024 08:08 AM

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You own a callable bond with 6 years left to maturity. It has a face value of

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