Assume there is a semi-annual corporate bond with a 14% coupon interest rate, matures in...
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Assume there is a semi-annual corporate bond with a 14% coupon interest rate, matures in 10 years and has a current market value of $700. The bond has a face value of $1000 and is callable in 6 years at $1140. What is the exact effective annual yield to call (YTC) for this bond? a. 19.3% b. 20.8% c. 16.7% d. 18.4% e. 21.2% f. 26.6% g. 19.9% h. None of the above
Assume there is a semi-annual corporate bond with a 14% coupon interest rate, matures in 10 years and has a current market value of $700. The bond has a face value of $1000 and is callable in 6 years at $1140. What is the exact effective annual yield to call (YTC) for this bond?
a.
19.3%
b.
20.8%
c.
16.7%
d.
18.4%
e.
21.2%
f.
26.6%
g.
19.9%
h.
None of the above
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