Compute the realised rate of return for investors

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Six years ago the Singleton Company sold a 20-year bond issue with a 14 percent annual coupon rate and a 9 percent call premium. Today, Singleton called the bonds. The bonds were originally sold at their face value of $1000. Compute the realised rate of return for investors who purchased the bonds when they were issued and who surrender them today in exchanged for the call price.

Reference no: EM131297377

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