Question
10. If a four year bond with a 7% coupon and is currently worth $904.90, how much will it be worth one year from now
10. If a four year bond with a 7% coupon and is currently worth $904.90, how much will it be worth one year from now if the annual market interest rate declines by 2% and interest payments are made semi-annually? A. $ 975.34
B. $ 925.39 C. $ 949.94 D. $1,000.00
please show work using finance calc
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Contemporary Economics An Applications Approach
Authors: Robert Carbaugh
8th Edition
1138652199, 978-1138652194
