You wish to purchase a ($1),000 bond from a friend who needs the money. There are 7

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You wish to purchase a \($1\),000 bond from a friend who needs the money. There are 7 years remaining until the bond matures, and interest payments are quarterly. You decide to offer \($750.08\) for the bond, because you want to earn exactly 16 percent per year compounded quarterly on the investment. What is the annual bond rate of interest?

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Principles Of Engineering Economic Analysis

ISBN: 9781118163832

6th Edition

Authors: John A. White, Kenneth E. Case, David B. Pratt

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