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If default probability is zero and bond is not called then...

This question belongs to Commerce Financial Management
Financial Management
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If default probability is zero and bond is not called then yield to maturity is

Answer & Solution
Correct Answer: Option D
If default probability is zero and bond is not called then yield to maturity is equal to expected return rate. The return on an investment as estimated by an asset pricing model. It is calculated by taking the average of the probability distribution of all possible returns.
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