Questionnbsp 1 how much would you be willing to pay today, Ask an Expert

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Question: 1. How much would you be willing to pay today for a bond with the following characteristics? (show your work)

a. You would receive $1000 a year for the next 8 years

b. The current interest rate for this type of bond is 8 percent

2. What if the bond paid $500 every six months for the same 8 years 9? (show your work)

3. What if the same bond has an extra $9,000 payment at the end of year 9? (show your work)

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Category:- Basic Finance
Reference No.:- M92842895

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