=+A discount bond is sold at a low price, and the whole return comes in the form

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=+A discount bond is sold at a low price, and the whole return comes in the form of a price appreciation. You can easily compute the current price of a discount Please visit the Companion Website at http://www .pearsonglobaleditions.com/Mishkin to read the Web appendix to Chapter 4. bond by using the financial calculator at http://www .treasurydirect.gov/indiv/tools/tools_savingsbondcalc.htm.

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