Computation of yield to call of a bond

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Computation of yield to call of a bond

Highfield Inc's bonds currently sell for $1,275 and have a par value of $1,000. They pay a $120 annual coupon and have a 20-year maturity, but they can be called in 14 years at $1,120. What is their yield to call (YTC)?

Reference no: EM1311146

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