Maxwell Industries has just issued a callable (at 102) ten-year, 8% coupon bond with semiannual coupon payments. The bond can be called at 102 in one year or anytime thereafter on a coupon payment...



Maxwell Industries has just issued a callable (at 102) ten-year, 8% coupon bond with semiannual coupon payments.  The bond can be called at 102 in one year or anytime thereafter on a coupon payment date.  It has a current price of 99.


What is the Yield to Call (YTC) on this bond?



Answer choices:

A) 14%



B) 8%



C) 11%



D) 12%




Jun 04, 2022
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