30. ABC Inc.'s bonds currently sell for $1,180 and have a par value of $1,000. They pay a $105 annual coupon and have a 15-year maturity, but they can be called in 5 years at $1,100. What is their yield to call (YTC)? 6.63% 6.98% 7.35% a. b. C. نه لن d. 7.74% 8.12%

Essentials Of Investments
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Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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30. ABC Inc.'s bonds currently sell for $1,180 and have a par value of $1,000. They pay a $105 annual
coupon and have a 15-year maturity, but they can be called in 5 years at $1,100. What is their yield
to call (YTC)?
a.
6.63%
b.
C.
d.
e.
6.98%
7.35%
7.74%
8.12%
Transcribed Image Text:30. ABC Inc.'s bonds currently sell for $1,180 and have a par value of $1,000. They pay a $105 annual coupon and have a 15-year maturity, but they can be called in 5 years at $1,100. What is their yield to call (YTC)? a. 6.63% b. C. d. e. 6.98% 7.35% 7.74% 8.12%
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