Yield-to maturity and yield-to-call


Problem:

A 5-year, $1000-par, 4% coupon bond is callable in 2 years at par. If the current price of the bond is $980,

Required:

Question 1: What is the yield-to maturity and yield-to-call? Explain all workings out and describe comprehensively.

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Finance Basics: Yield-to maturity and yield-to-call
Reference No:- TGS0876980

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