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( 1 ) The Zeniba Corp. has bonds outstanding that mature 1 0 years from today. The bonds have a fixed coupon = 6
The Zeniba Corp. has bonds outstanding that mature years from today. The bonds have a fixed coupon pay interest semiannually, and have a face value $ Today investors require an average annual rate of return on year loans to Zeniba ie a yield to maturity
a What do you estimate, to the nearest penny, is todays price per bond?
b Suppose the annual return required by investors on year loans to Zeniba suddenly rises to What do you believe will be the percentage point change in the price per bond?
Please calculate this in excel using formulas
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