Question

3 Boeing Corporation has just issued a callable (at par) three-year, 5% coupon bond with semiannual coupon payments. The bond can be called at par in two years or anytime thereafter on a coupon payment date. It has a price of $99. What is the bond's yield to maturity? а. а. b. b What is its yield to call? What is its yield to worst? с. С.

Answer 1

Sot As in the uestion s1 (sami arnual 3५० CR 2-5% 5x 3X2 6 4100 at par Callable ie $19 eld to atuty It(F-P FtP 2 I periodic oupen amount ak Redenphon pnce aueent markat price taiedie 2emainisgda namber D2-51. t 4tm 99 lo0 100+91 2 2.5 t.167 99.S 2.68 1. 6 months 6end fapivelent Yield 2-68 X2 5.36

الطمل لم turo पु० -4 2X2 2 Yield to Call 160-99 4 2.5 t 100+11 2 2-St 25 9.S 2.76 / or6months 2-76 2 S-52 1 Bend uial ent tield

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