A 10-year 30000 bond was issued at a nominal interest rate, Ask an Expert

Economics

A 10-year, $30,000 bond was issued at a nominal interest rate of 6% with semiannual compounding. Just after the fourth interest payment, the bond will be sold. Assume that an effective interest rate of 101/4% will apply, and calculate the price of the bond.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M92635762

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