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Kholdy Inc's bonds currently sell for RM1,275. They pay a RM120 annual coupon and have a 20-year maturity, but they can be called in 5 years at RM1,120. Assume that no costs other than the call premium would be incurred to call and refund the bonds, and also assume that the yield curve is horizontal, with rates expected to remain at current levels on into the future. What is the difference between the bond's YTM and its YTC?

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