Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. what is the yield to call of a 20-year to maturity

What is the yield to call of a 20-year to maturity bond that pays a...

80.2K

Verified Solution

Question

Finance

What is the yield to call of a 20-year to maturity bond that pays a coupon rate of 14.22 percent per year, has a $1,000 par value, and is currently priced at $1,219? The bond can be called back in 10 years at a call price $1,096. Assume annual coupon payments.

Round the answer to two decimal places in percentage form.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Civil Engineering
1.2K views

course: Engineering Geology The scope of this course covers 10 key Chapters. Summarise the content of each...

Psychology
1.2K views

Identify and discuss the five models of affirmative action that are examined in research by David...

Physics
1.2K views

A jet of water strikes with a velocity of 35 m s a flat plate...

Basic Math
1.2K views

9 1 point Determine the perimeter of this triangle a less than 46 units b...

Statistics
1.2K views

A CBS News poll conducted June 10 and 11 2006 among a nationwide random sample...

Algebra
1.2K views

OHaganBooks com were to give away its latest best seller A River Burns through It...

Algebra
1.2K views

Determine the domain of the following function y x 5 The domain is Type your...

Accounting
1.2K views

Pearce Company uses the FIFO method in its process costing system. The Mixing...

Accounting
1.2K views

1. Inventory that had cost $24,600 was sold for $36,900 under terms 2/20, net/30. 2....

Accounting
1.2K views

Australian Taxation Abby runs a printing business and leases a building for which she pays...

Accounting
1.2K views

Hi i have a kind of weird situation... my professor assigned review questions along with...

Finance
1.2K views

A corporate bond has 2 years to maturity, a coupon rate of 12%, a face...