Whats the bond price if the bond can be called in 7 years


Cable Industries has a bond outstanding with 15 years to maturity, an 8.25% coupon, semiannual payments, and a $1,000 face value. The bond has a 6.50% yield to maturity. What’s the bond price? If the bond can be called in 7 years at $1,050, what is the yield to call (YTC)?

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Financial Management: Whats the bond price if the bond can be called in 7 years
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