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Problem:

Consider a bond paying a coupon rate of 10% per year semiannually when the market interest rte is why 4% per half-year. The bond has three yers until maturity.

Required:

Question 1: Find the bond's price today and six months for now offer the next coupon is paid.

Question 2: What is the totoal rate of return on the bond.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M91169849

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