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Question: A 20-year, 10% coupon bond is currently quoted at $850. Calculate the following:

a) Yield to maturity.

b) Yield to call, if the bond is called 10 years later at a call price equal to par plus two years interest.

c) Holding period yield, if the bond is sold 5 years later at $1200.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M92762003

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