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12. Eleven years ago, LMN Company issued several hundred million dollars' worth of bonds with 30-year maturities. Each individual bond will mature at a price
12. Eleven years ago, LMN Company issued several hundred million dollars' worth of bonds with 30-year maturities. Each individual bond will mature at a price of $1,000, but no periodic interest payments are to be made (thus we are looking at zero-coupon bonds). What yield to maturity does an investor receive if she buys one of these bonds today for $111.29
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