Call price will exceed the par value by an amount called

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Reference no: EM131553544

1. The call price will exceed the par value by an amount called:

a. the call premium

b. the call discount

c. the redemption price

d. the percentage of price

2. A firm is most likely to call an outstanding bond issue when:

a. interest rates rise

b. it needs to raise new funds

c. interest rates fall

d. its cost of capital increases

Reference no: EM131553544

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