A callable security will be called in when flotation costs of a new security issue are less than savings from issuing a new security at a lower interest rate.
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Q4: Investors interested in maximizing profitability usually hold
Q5: Nearly all corporate bonds and mortgages and
Q6: The size of the call penalty paid
Q7: For bonds the minimum call penalty required
Q8: Most callable corporate bonds carry call deferments
Q10: While call privileges are, in general, a
Q11: Generally speaking, the market price of a
Q12: Callable securities usually benefit the issuer over
Q13: There is a positive relationship between the
Q14: The key factor determining the size of
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