CFA Practice Question

There are 252 practice questions for this study session.

CFA Practice Question

Two bonds have identical characteristics, except that Bond A is opton-free and Bond B is callable at par starting in 2 years. Bond A is selling for $107 right now. The LEAST LIKELY price for Bond B is:
A. $103
B. $107
C. $110
Explanation: Since Bond B is a callable bond, its price should be lower.

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