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1. Find the value of the following bond: Par value: $5,000 Coupon rate:2% Required rate: 2.5% Maturity: 5 years A. B. C! D. E. $800,

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1. Find the value of the following bond: Par value: $5,000 Coupon rate:2% Required rate: 2.5% Maturity: 5 years A. B. C! D. E. $800, $1,000 $4,661.37 $4,883.85 None of the above. 2. Firms should A. B. C. D. E. maximize profits. maximize revenue. minimize costs. minimize taxes. maximize firm value. 3. . Under the flat tax rate system, A. B. C. D. E. the marginal tax rate is always higher than the average tax rate. the average tax rate is always higher than the marginal tax rate. successive income is taxed at higher rates. The marginal and the average tax rates are the same. None of the above is true

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