14. An analyst observe a widget & Co. 7.125 %, 4-year, semiannual - pay bond trading at 102.347% of par (where par = $1,000). The bond is callable at 101% in two years and putable at 100% in two years. What is the bond's current yield? A. 6.962% B. 7.500% C. 7.426 % D. 7.328%
14. An analyst observe a widget & Co. 7.125 %, 4-year, semiannual - pay bond trading at 102.347% of par (where par = $1,000). The bond is callable at 101% in two years and putable at 100% in two years. What is the bond's current yield? A. 6.962% B. 7.500% C. 7.426 % D. 7.328%
Chapter6: Bonds (debt) - Characteristics And Valuation
Section: Chapter Questions
Problem 11PROB
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