(Answered) Current levels for the foreseeable future

Finance

Problem: Wald Inc.'s bonds currently sell for $1,120 and have a par value of $1,000. They pay an $85 annual coupon and have a 20-year maturity, but they can be called in 5 years at $1,050.

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Question: What return would an investor most likely earn, if interest rates remain at current levels for the foreseeable future? Support your statements with examples.

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