Question
1. A 10-year bond was issued last year with a coupon rate of 9 percent and a face value of 1000There are now 9 years
1. A 10-year bond was issued last year with a coupon rate of 9 percent and a face value of 1000There are now 9 years remaining for the life of the bond but the market interest rate of the bond is now 10 percent. What is the bond value?
Group of answer choices
a. $856.74
b. $950.59
c .$1000.00
d. $947.65
could you show a detailed working for the solution thank you
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Personal Finance Building Your Future
Authors: Robert Walker, Kristy Walker
2nd Edition
0077861728, 9780077861728
