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Mighty Mollusk, Inc

Question 114

Multiple Choice

Mighty Mollusk, Inc.issued a 30-year bond which is callable in 8 years.It has a coupon rate of 5.5% payable semi-annually, a yield to maturity of 8% and a call premium of one year's interest.What is the yield to call?


A) 6.75%
B) 13,67%
C) 4.82%
D) 11.42%

Correct Answer:

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