What is the investors realized yield


Problem

Sandhill Corp. has 18-year bonds outstanding. These bonds, which pay interest semiannually, have a coupon rate of 9.595% and a yield to maturity of 9.5%. Assume face value $1000. If the bonds can be called in five years at a premium of 10.0% over par value, what is the investor's realized yield?

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Financial Accounting: What is the investors realized yield
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