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Management · Q318

International Finance and Treasury

Graduate and Post Graduate · Management · question 318

Q318

Call premium is 385 and face value of bond is 285 then call price of bonds is

A.
$100
B.
$770
Answer
C.
$670
D.
$570

Answer: Option B

Solution

Answer: Option B
Solution:
Price of bonds = Call premium + Face value of bond
= 285 = $770.
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