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A Company Issues a 20-Year,callable Bond at Par with a 6

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A company issues a 20-year,callable bond at par with a 6% annual coupon.The bond can be called at par in three years or any time after that on a coupon payment date.The call price is $110 per $100 of face value.What is the yield to call?

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Definitions:

Environmental

Pertaining to the natural and physical surroundings in which an organism lives, and how these surroundings affect behavior and development.

Behavior Systems Approach

The idea that learning evolved as a modifier of innate behavior systems and functions to change the integration, tuning, instigation, or linkages within a particular system.

Instinctive Behavior System

Innate, pre-programmed behaviors that are triggered by specific environmental cues.

Functional Features

Characteristics of an object or event that are relevant to the completion of an activity or task.

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