P4A.9 A Florida state savings bond can be converted to $1,000 at maturity eight years from purchase.

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P4A.9 A Florida state savings bond can be converted to $1,000 at maturity eight years from purchase. If the state bonds are to be competitive with U.S. savings bonds, which pay 6% interest compounded annually, at what price will the state's bonds sell, assuming they make no cash pay- ments prior to maturity?

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Fundamentals Of Investing

ISBN: 9780136117049

11th Edition

Authors: Lawrence J. Gitman, Michael D. Joehnk, Scott B. Smart, Scott J. Smart

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